Bitcoin - All Your Spidey Senses Should be Tingling
Updated
Make no mistake about it. We lie amidst the first wave of calamity. Amidst calamity, it is never so easy to see what is going on, or where things are going to go. If it were, it would neither count as calamity, nor would it be the case that most traders lose money in the market. It would also mean there was no money to be made in the market, and we wouldn't be here doing this.
In one of my previous posts, which I've included, I warned of a risk of a Bump and Run Reversal where one has to be extremely careful at 5.9k to 6.1k. I also said that the pattern can play out in a failed run to 6.1-6.3k. So far, it would seem the read has played out well.
What is a Bump and Run Reversal?
http://d.stockcharts.com/school/data/media/chart_school/chart_analysis/chart_patterns/barr-lvlt.png
Forget all the lines on that as it came from merely a Google search, but a pattern where we bump here to $6,300 and then are nuked is looking very likely at the moment.
Why am I warning of this? Because alarm bells should be ringing in your head. Why? Because at the same time that the price fell to a key support line, Bitfinex Tweeted that they'll be offering a Chain Split Token (futures) for Bitcoin Gold:
https://twitter.com/bitfinex/status/922488259070038019
Why does that matter? Because with Bittrex and Finex, who are crediting the tokens but not providing a market, you have to have Bitcoin in your wallet at the time of the snapshot to be credited Bitcoin Gold.
Do you see the idea? So, what is going to happen in the next 12 hours before the snapshot? Is the price going to go to Goblin Town so everyone can buy Bitcoin cheap to get their "free money"?
It is the perfect storm to bring the markets to a $6,300 ATH, and as it stands now, take a look. We are entering all of the key trendlines and breakout points and indicators show reversal.
Take a look at IOTA, OmiseGO, and Ethereum and you'll see a similar pattern play out at the tops of their ATHs.
In trading, the most important thing is not not missing out on opportunities. Opporunities are there every single day in crypto.
What's most important is protecting your money.
Where we are right now is designed fundamentally to take your money away from you.
It's a zero-sum game. Enlighten to it.
In one of my previous posts, which I've included, I warned of a risk of a Bump and Run Reversal where one has to be extremely careful at 5.9k to 6.1k. I also said that the pattern can play out in a failed run to 6.1-6.3k. So far, it would seem the read has played out well.
What is a Bump and Run Reversal?
http://d.stockcharts.com/school/data/media/chart_school/chart_analysis/chart_patterns/barr-lvlt.png
Forget all the lines on that as it came from merely a Google search, but a pattern where we bump here to $6,300 and then are nuked is looking very likely at the moment.
Why am I warning of this? Because alarm bells should be ringing in your head. Why? Because at the same time that the price fell to a key support line, Bitfinex Tweeted that they'll be offering a Chain Split Token (futures) for Bitcoin Gold:
https://twitter.com/bitfinex/status/922488259070038019
Why does that matter? Because with Bittrex and Finex, who are crediting the tokens but not providing a market, you have to have Bitcoin in your wallet at the time of the snapshot to be credited Bitcoin Gold.
Do you see the idea? So, what is going to happen in the next 12 hours before the snapshot? Is the price going to go to Goblin Town so everyone can buy Bitcoin cheap to get their "free money"?
It is the perfect storm to bring the markets to a $6,300 ATH, and as it stands now, take a look. We are entering all of the key trendlines and breakout points and indicators show reversal.
Take a look at IOTA, OmiseGO, and Ethereum and you'll see a similar pattern play out at the tops of their ATHs.
In trading, the most important thing is not not missing out on opportunities. Opporunities are there every single day in crypto.
What's most important is protecting your money.
Where we are right now is designed fundamentally to take your money away from you.
It's a zero-sum game. Enlighten to it.
Note
Yesterday we did not bounce higher than $6000 and have since fallen through major support. Right now we can bottom out around 5480 where the lines converge, but it's not looking like we're getting adequate volume and momentum on reversal. Look at the 5380 range where the longer term lines converge for a bounce to a possible 6.3-6.4k.
Right now A LOT of shorts are piling up thinking we're going to crash. If everyone is short, can it go down? If everyone were long, could it go up?
Just food for thought.
Note
Chart: Note
Further to yesterday's update, we indeed may be bottoming out and be prime for a reversal here at the trendline from September 15:15 minute candles only, but as I write this there's most certainly some signs of reversal.
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