ADAUSD UPDATE - STRONG SUPPORT
Updated
Important things to note:
BTC either near a bottom or headed to 32k
I believe it is near a bottom. This does not mean price will just go up.
Retail is almost completely gone.
ADA price traced BTC perfectly with a test of support during BTC 54.5k level.
ADA price hit strong support during the wick fill for BTC.
This is similar to what happened before with my yellow triangle.
I have been buying. This does not mean you should. But I am.
Important dates to note:
Evergrande payments - (largest payment of 2.1B due March 23, 2022)
Hey everyone, I hope you are keeping it together during these past few days because most people have not. Though BTC can hit 32k, print a lower high and start a downtrend, I do not believe that will happen. Not for right now at least. What I believe is that institutions are using the derivatives market to push price down, slow down the trading, and take the price of BTC right to the edge of the cliff in order to flush out any retail traders that are left. From there, with the low trading volume they can move the price where they want so they may purchase, pump up the price a bit, and let retail take BTC to high levels while they sit back and the cycle repeats itself. This is how it is done, you can call it what you will. Now, there are plenty of reasons why I believe we have not seen the top of this movement yet and it does not have to be soon. Though, when it happens, you won't expect it. ADA has tested its support level when BTC hit 54.5 perfectly and moved to test the lower support level while it accumulates. This is exacly what I had planned for on my last chart. You can see the similarities from my yellow triangle. Price accumulates, gets pushed out of down trendline, then moves up. I have not added to ADA for a long time because I have so much already, however the stars have aligned fundamentally and technically, so I have added to my portfolio. I know there are tons of people talking about "don't catch a falling knife" and yadda yadda, however I trade very reserved normally and am very aggressive in situations like this. This does not mean you should buy since you and I are likely not in the same situation. I am entering assets and adding to my portfolio and the risk to me at 41k is very very low. I will be updating my charts with other entries areas that I am looking at and assets I believe will do well. Thanks again everyone!
So, tell me what you think!
This is not financial advice. Do your own due diligence.
BTC either near a bottom or headed to 32k
I believe it is near a bottom. This does not mean price will just go up.
Retail is almost completely gone.
ADA price traced BTC perfectly with a test of support during BTC 54.5k level.
ADA price hit strong support during the wick fill for BTC.
This is similar to what happened before with my yellow triangle.
I have been buying. This does not mean you should. But I am.
Important dates to note:
Evergrande payments - (largest payment of 2.1B due March 23, 2022)
Hey everyone, I hope you are keeping it together during these past few days because most people have not. Though BTC can hit 32k, print a lower high and start a downtrend, I do not believe that will happen. Not for right now at least. What I believe is that institutions are using the derivatives market to push price down, slow down the trading, and take the price of BTC right to the edge of the cliff in order to flush out any retail traders that are left. From there, with the low trading volume they can move the price where they want so they may purchase, pump up the price a bit, and let retail take BTC to high levels while they sit back and the cycle repeats itself. This is how it is done, you can call it what you will. Now, there are plenty of reasons why I believe we have not seen the top of this movement yet and it does not have to be soon. Though, when it happens, you won't expect it. ADA has tested its support level when BTC hit 54.5 perfectly and moved to test the lower support level while it accumulates. This is exacly what I had planned for on my last chart. You can see the similarities from my yellow triangle. Price accumulates, gets pushed out of down trendline, then moves up. I have not added to ADA for a long time because I have so much already, however the stars have aligned fundamentally and technically, so I have added to my portfolio. I know there are tons of people talking about "don't catch a falling knife" and yadda yadda, however I trade very reserved normally and am very aggressive in situations like this. This does not mean you should buy since you and I are likely not in the same situation. I am entering assets and adding to my portfolio and the risk to me at 41k is very very low. I will be updating my charts with other entries areas that I am looking at and assets I believe will do well. Thanks again everyone!
So, tell me what you think!
This is not financial advice. Do your own due diligence.
Note
Bulls got wrecked on daily close. We will see what happens but I didn't expect it to just move up. Like I said before, I expect them to draw this out to flush out retail completely.Note
BTC is likely to wick below the lows during this long drawn out process, so keep that in mind.Note
6 red days in a row on BTC, I believe that hasn't happened since 2018.Note
Fear and Greed Index at 10 (not that it is a great measure of PA).Let's play a game, if it hits 1, we all go to the store, find a nice bottle of Tiquila, and take a shot. Who's with me LOL? (joking, of course).
Note
I should mention that you don't have to drive the price down to flush out retail either. Remember, this goes both ways, and insitutions are always looking for liquidity. I know by looking at the order book heatmap that there are a sizeable about of shorts above 42.5 amongst other things. When price action ranges, it slows down volume and drives out both sides of the coin. Anyways, you all know how I feel, I buy aggressively at levels like this. This risk/reward is too good to pass up.Note
I would not be surprised to see an IH&S pattern form on the BTC 4hr.Note
Target for the above would be the start of the LIQ candle around 46,5xx. Obviously we need to see the pattern first so its pure speculation, but that is what I am keeping my eye on.Note
One more time for the people in the back"BTC is likely to wick below the lows during this long drawn out process, so keep that in mind."
Note
Retail has capitulated and alts got to test key levels. This is good. Especially for buyers.Note
I am expecting BTC to close above 43k on weekly.Note
Again... for the people in the back:"I should mention that you don't have to drive the price down to flush out retail either. Remember, this goes both ways, and insitutions are always looking for liquidity. I know by looking at the order book heatmap that there are a sizeable about of shorts above 42.5 amongst other things."
Note
Also, small pressure is building due to the sideways action, I expect to see another move soon.Note
So the pressure resulted in a bit of upside, which I was expecting due to the structure of the consolidation. However, I wished it happened a bit later because CME is closed so when the market opens, there will be a gap at about 41,8xx. This will likely fill because price will be sucked to the contracts like a magnet. So expect that level to be touched again. Everyone here knows I am overall bullish for a number of factors. However, I also believe there will be pain along to way to shake out as many people as possible. The risk of 32k is far less than the reward possible by entering at these levels for me.Note
Funding rate is moving to levels the bulls would like to see.... Insitutions do not leave money on the table and they do not take sides...Note
One more thing before I am out for the day, I just noticed ADA while at bottom has created an accumulation pattern. I do not know how I missed it until now, but I would say it is close to the spring. If you don't know what I mean look at my ICP chart.Note
I am going to be putting out another chart later to update everyone and I be updating my other charts with the entries I see.
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