BTC -Downtrend support line broken - Head Fake - Bottom done ?
Hello all,
The long term downtrend support line has been broken yesterday during some hours but it was a Head Fake :
What is the meaning of a Head Fake ? It means in that case that we started to break the support line, but that the sellers didn't have enough engagement to continue the move and so the buyers came back powerfully.
I like this kind of move because it can be a good indicator that we will go in the other direction and so in that case, that a bounce is expected and coming.
Is the Bottom done?
It is possible but still too earlier to be sure. We need now to see several UP like I drawn you on the chart in green. If we stop already the UP now and go back test the downtrend support line again, the sellers could win and break it really with a nice volume.
I wish you massive profits,
Cryptopassion.io
Disclaimer : Never invest more than what you can afford to lose. This post is my personal opinion, do your own research before making any investment decisions. If you make any trades after reading this post, it is completely in your responsibility. I am not responsible for any of your losses. By reading this post you acknowledge and accept that.
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In 4 hr btcusd chart there appears anbullish macd divergence. Btcusd making lower lows while macd converges slightly higher but ya been happening since the first drop to 12000. Too many confusing signals imho. That means wait for me. I’d personally rather lose a several thousand dollars/btc and have confirmation. If what I think the potential for btc is true, several thousand/btc won’t matter when we are taking high 10s or even 100s of thousands. Just imho.
Good summary. Too confusing to say anything for sure right now
https://steemit.com/bitcoin/@davebrewer/cryptos-hit-bottom-today-time-to-buy-hugely-and-hodl-as-we-go-to-the-moon
That head fake screwed me over t be honest.
According to the firm Autonomous Next, the number of hedge funds investing in digital assets like Bitcoin has grown rapidly to more than 100. Since the launch of Bitcoin Futures on the Chicago Mercantile Exchange in December 2017, it shouldn’t be a surprise to anyone why the price of Bitcoin is down 50% from the high.
bitcoin.PNG
Only Retail Investors chase price and buy high and sell low, while the Professionals buy low and sell high. The Hedge Funds have purposely sold Bitcoin futures to get in a better price.
At the moment, there is a war taking place between the buyers (Hedge Funds) and the sellers (Retail Investors) called capitulation. That line in the sand was at $9000. Capitulation is when investors give up any previous gains, by selling, in an effort to get out of the market. Capitulations are outcomes that result from the maximum psychological and financial pain that can be endured by a group before throwing in the towel. The Retail Investors are throwing in the towel after seeing a more than 50% correction in the Bitcoin price to the buyers, the Hedge Funds. With 100s of millions of dollars to invest, we are witnessing an accumulation phase by the Hedge Funds between $6000 and $9000.
The Hedge Funds are loading up and buying from the Retail Investors. But to fill all their buy orders, as the sell orders dry up, price must go down to the next stack of sell orders. We are approaching what I believe will be the bottom of bitcoin at $6000. My first target is $12,000 and my second target is $17,000 over the next 3 - 9 months.
The easy money has been made over the last 12-18 months. With the big boys in the game now, the rules have changes. The question is, are you ready to play to win with a new play book?
This post is my personal opinion. I’m not a financial advisor. Do your own research before making investment decisions. By reading this post, you acknowledge and accept full responsibility of any gains or losses.
Esperemos comience a recuperarse el mercado y ver nuevamente el btc en números atractivos.
I would wait about a month and then invest.
You can kick yourself then
Nice post
resteem you post please give a huge upvote thanks
we coming up in a bit
I think we'll get a bounce but not immediately :) Good article!