Good morning ladies and gentlemen and welcome back to my daily look into the world of Bitcoin. Today I have the 4hr time frame pulled up after a pretty crazy day yesterday. The FUD is piling up waste high and we can clearly see the results of this fud on the charts this morning. I will discuss the reason behind the drop in this analysis and we will take a look at where we go from here. So lets stop wasting time and get to the nitty gritty.
First of all I want to bring up what is probably on everyones mind at the moment. What happened at Bitmex?? Well it looks like the main guy got popped along with many of his top execs in the company (Bitmex) For those that do not know Bitmex is a futures platform traders use. You can use leverage on the platform and the US banned its use. Long story short the US had its eyes on Arthur Hayes and his fellow Bitmex higher ups for a long time and they must have had an opportunity to nab these guys (Arthur Hayes, and three co-owners: Benjamin Delo, Samuel Reed and Gregory Dwyer.) Now that you have a bit of the back story I believe the US govt was angry with the platform because they werent 100% willing to work with the US govt to report earnings for tax purposes. Similar to how Binance got hit. But Binance complied (made Binance US) vs Bitmex who basically threw up the middle finger at the US govt. I think this has already effected the price of BTC but it could very well get worse. If you dont have a stop loss now I would seriously consider setting one. Things could get bumpy.
I will keep my opinions to myself but I will say this... "Give me liberty or give me death!"
Now to the charts. I see we are inside of a big triangle pattern that started early September. We have been inside this triangle pattern in a state of consolidation ever since we dipped here. You can see we are respecting the borders of the triangle and any other day I would say expect some support at the bottom border of the triangle. But with the fud in the news that I mentioned earlier nothing is out of the realm of possibilities. I hate it when news like this is front row center. It makes TA extra difficult with the wild card we call fud. (fear, uncertainty, doubt) This is why I keep saying set a stop loss.
Now if we do respect the triangle the bottom should be 9300. I would say its 50/50 whether or not we stay inside the triangle. This fud is unpredictable. If we lose the bottom support of the triangle we may just fall to the .618 which has acted as recent support. The .618 is around 10200 so we would still be above 10k. Right now if we can manage to hold onto 10k I would be impressed. Just in case things go a bit south I see support holding at around 9k thanks to that 2.5 year trend line below us. That is the line in the sand if you ask me. If we do fall below this line in the sand things could certainly get ugly.
I really was liking what I was seeing yesterday before I heard of the Bitmex stuff. We had retaken some key support just to have it dashed when the news broke. That is the wild card. FUD. I will be the first to admit that I do not have a crystal ball. I dont think any of us really expected that to happen yesterday. People keep asking me if they should remove funds off Bitmex. I cant give you that answer. I do not want to cause more blood in the streets by claiming the sky is falling when its only raining. I will say this. If I had money on Bitmex I would pay very close attention to the news over the next few weeks. Bitmex was the most popular futures platform I know of. I think traditional Binance offers futures but not 100x. There are other platforms too but you need to exercise extreme caution when you decide on a new platform. Too many scams out there. In the mean time perhaps you should think about limiting your exposure to hackers by storing your crypto in cold storage. This is the best solution. Even if they shut every exchange down your crypto would be safe on your cold storage. Just a bit of advice. Be careful folks. Things are unpredictable at the moment. I hope you all have a great day. Make good choices! WTFDIK???
TLDR: Bitmex bites the dust. Fud followed. If you havent already make sure you set a stop loss. We could be in for a bumpy ride.
First of all I want to bring up what is probably on everyones mind at the moment. What happened at Bitmex?? Well it looks like the main guy got popped along with many of his top execs in the company (Bitmex) For those that do not know Bitmex is a futures platform traders use. You can use leverage on the platform and the US banned its use. Long story short the US had its eyes on Arthur Hayes and his fellow Bitmex higher ups for a long time and they must have had an opportunity to nab these guys (Arthur Hayes, and three co-owners: Benjamin Delo, Samuel Reed and Gregory Dwyer.) Now that you have a bit of the back story I believe the US govt was angry with the platform because they werent 100% willing to work with the US govt to report earnings for tax purposes. Similar to how Binance got hit. But Binance complied (made Binance US) vs Bitmex who basically threw up the middle finger at the US govt. I think this has already effected the price of BTC but it could very well get worse. If you dont have a stop loss now I would seriously consider setting one. Things could get bumpy.
I will keep my opinions to myself but I will say this... "Give me liberty or give me death!"
Now to the charts. I see we are inside of a big triangle pattern that started early September. We have been inside this triangle pattern in a state of consolidation ever since we dipped here. You can see we are respecting the borders of the triangle and any other day I would say expect some support at the bottom border of the triangle. But with the fud in the news that I mentioned earlier nothing is out of the realm of possibilities. I hate it when news like this is front row center. It makes TA extra difficult with the wild card we call fud. (fear, uncertainty, doubt) This is why I keep saying set a stop loss.
Now if we do respect the triangle the bottom should be 9300. I would say its 50/50 whether or not we stay inside the triangle. This fud is unpredictable. If we lose the bottom support of the triangle we may just fall to the .618 which has acted as recent support. The .618 is around 10200 so we would still be above 10k. Right now if we can manage to hold onto 10k I would be impressed. Just in case things go a bit south I see support holding at around 9k thanks to that 2.5 year trend line below us. That is the line in the sand if you ask me. If we do fall below this line in the sand things could certainly get ugly.
I really was liking what I was seeing yesterday before I heard of the Bitmex stuff. We had retaken some key support just to have it dashed when the news broke. That is the wild card. FUD. I will be the first to admit that I do not have a crystal ball. I dont think any of us really expected that to happen yesterday. People keep asking me if they should remove funds off Bitmex. I cant give you that answer. I do not want to cause more blood in the streets by claiming the sky is falling when its only raining. I will say this. If I had money on Bitmex I would pay very close attention to the news over the next few weeks. Bitmex was the most popular futures platform I know of. I think traditional Binance offers futures but not 100x. There are other platforms too but you need to exercise extreme caution when you decide on a new platform. Too many scams out there. In the mean time perhaps you should think about limiting your exposure to hackers by storing your crypto in cold storage. This is the best solution. Even if they shut every exchange down your crypto would be safe on your cold storage. Just a bit of advice. Be careful folks. Things are unpredictable at the moment. I hope you all have a great day. Make good choices! WTFDIK???
TLDR: Bitmex bites the dust. Fud followed. If you havent already make sure you set a stop loss. We could be in for a bumpy ride.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.