How to operate after the Bitcoin crash?

Updated

Bitcoin's "floating flag" is well established, breaking the lower side of the "triangle" on the downside today, triggering a long unwinding, with $600 million of holdings disappearing in one day at OKEx and Huobi.

Here's a reference. The CME exchange is closed from Saturday to Sunday, so when it opens on Monday, the movement of the CME's bitcoin contracts will have a big impact on the currency market.

So far, the CME's bitcoin contract has left two jumps open at $54,400 and $59,400. According to the logic of gap covering, CME's bitcoin contract will cover the following two gaps.

Now there's a problem. If the price of bitcoin is above $54,400 before the market opens on Monday, it means that the impact of long positions being unwound when the CME opens will directly drive the price down.

In other words, the higher the rally now, the more bearish it will be Monday morning.

So let's hope the bouncers here are cautious enough. Stop being cannon fodder for the dealer.

Note

peter-l

30年的A股投资经历，水平虽然不高，但经验足够丰富。熊市避坑，牛市逃顶，对于新手可能有所帮助。
需要每日分析，请搜索微信号peter-tqbj，需要股市投资建议搜索星球{抱团取暖，迎接A股牛市}，或者星球号64802450

Also on:

Related publications

上飘旗形的走势，能否抑制比特币再次新高？

by peter-l

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.