BTC: dead cat boucne?

2년 전

Following on from the massive sell, off we have found support at the 6.1K region based off previous support, since then we have returned to 6,500 region. Is this just a dead cat bounce? In this post I will be going over bullish and bearish scenarios and detailing what will make either of these counts invalidated.

Taking a long term perspective on things to start: WEEKLY
Our huge Growth last year was based upon speculator wipe and did not mirror the inherent value of BTC. That is why such a large has happened. We can see however that previous EMA's have acted as a strong support for BTC and the 100 EMA may in fact be the bottom. This would be confluent with many other analysts predicting the bottom being between 4-6K region.

www.tradingview.png

Now on a closer time frame: ONE DAY
We can see clearly that we have broken out of market structure, bearishly. However I would wait for a retest of this key trend line before confirming any position. If we retest this line and break through, it would signal that we are currently in a bear trapped region to trigger stop losses, on the contrary if we retest and fail to break through it would signal a bearish outcome and support would likely be find within the 5.5k-5K region initially. If we are to break bullish the top will likely be found at the 55 and 100 EMA.

www.tradingview.png

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
STEEMKR.COM IS SPONSORED BY
ADVERTISEMENT