BTC shorts losing momentum? Strong case for BTC bulls?The BTCUSDSHORTS chart historically has been a good tool to look at Bitcoin's overall health in the cryptomarket. When BTC acts bearishly, BTCUSDSHORTS shorts go up. The inverse is also true - when BTC acts bullishly, BTCUSDSHORTS go down. Naturally shorts skyrocketed at the end of the great FOMO, with positive momentum lasting until April. However when BTC regained its positive momentum in early April, shorts fell again and bottomed out in May when BTC began another dump that lasted well into June (rounding teal line). What's interesting is mid-late June, shorts began forming a broadening top pattern - lower lows but higher highs - a case of indecision. Shorts fell out of this cone-like pattern, using its bottom trend line as resistance (A) before falling to complete its short-term measured move, the upper red line. It then had a false breakout, rising back into the broadening top (B), with price action coinciding inversely to BTC's second bottom @ 5782:
However the false breakout was short-lived, shorts dipped again on BTC's June 29th pump to the upside (C). What we have now it seems is a descending wedge, with two touch points on the top trend line as resistance, and three touch points on the bottom trend line as support on the daily BTCUSDSHORTS chart. I have the 4hr chart shown here for the sake of more candlestick patterns. This pattern coincides with the overall measured move of the broadening top pattern, which is down at the bottom red line (D), also coinciding with the area where shorts rounded out in mid-May. The daily shorts chart also shows bearish continuance on the RSI:
If BTCUSDSHORTS continues to act bearishly, hitting the measured move of the broadening top pattern while staying within the parameters of the descending wedge, BTC will continue to act the inverse, bullishly, no matter the small dips it may take along the way.
BTCUSDSHORTS trade ideas
BTC Longs and Shorts Chart AnalysisAs i mentioned earlier "https://www.tradingview.com/chart/BTCUSDSHORTS/rIwNgBdH-BTC-Short-position-number-Resistance-Area/"
The shorters closed many position and we saw %25 down correction and longs increased %20 but nothing changed on price.
Now longs pushing the big resistance and shorts making Lower High. After longs closed a daily candle above the resistance, we will start moon mission.
BTC/USD - Short squeeze imminent?This chart of short positions on Bitfinex shows a cup and handle formation (a bullish continuation pattern) and RSI close to overbought. So, short positions are building up towards their recent top around 12th April, which at that time prompted a huge short squeeze. I think that current price action in BTC is a bear trap and that we may see another another short squeeze very soon, possible this weekend or very soon after. Good luck with your trading.
B T C Shorts to return soon?I thought I posted this earlier but I guess it didn't take. At any rate, this chart looks at the bit-coin shorts. As you can see the rising wedge followed by a selloff followed by what appears to be a cup and handle type pattern. If this pattern plays out like other valid cup and handle patterns then it would indicate a break upward at some point. A rise in shorts, of course, should lead to a further decline in the cash price. Regardless, I think its worth keeping an eye on what the short sellers are doing as it is usually the inverse of what the cash price is doing / going to do.
Not advice, just an observation. Your mileage may vary. :0)
BTC Shorts returning soon?There have been a few obvious spike in the price of Bit-coin to the upside. Is this organic buying or shorts taking their profits? I'm starting to think it is more of the shorts taking their profits and getting ready to reload. Looking at this chart of USD Shorts you can see how the price fell out of the rising wedge only to make what now looks like a cup and handle pattern. If this pattern breaks north like the normal implication that should mean that bit-coin price is in decline, again. When this might happen, I'm not sure. Nor am I sure it is will happen. The pattern just seems curious to me and one worth paying attention to in my opinion.
Bear trap?April high for BTCUSDSHORTS preceded a steep drop. Now, after formation of a symmetric cup & handle many have assumed shorts would potentially take to a new high. However, considering the latest high is lower than the previous, and shorts are now diving instead of rising at the end of what is normally considered a bullish formation, BTC shorts could easily retreat much further should they break this lower trendline support.
BTCUSDSHORTS; Eat ItThere are signs here that we are going to have a lot of shorts close. Someone people saw a cup and handle but that would have been the tiniest handle I have ever seen.
1. Bearish hidden continuation div.
2. AO says to get out
3. Symmetrical triangle on BTCUSD broke upwards.
If/When BTC breaks 7k all hope is lost on your short.
Good luck and have fun!