'The Big Short' to Under $8,000 for Bitcoin
In the future I will publish charts with all indicators on, as well fib levels displayed and in-depth descriptions of why I believe a position to be either long or short.
All of my charts thus far have been shorts, and that is for a strong reason. In this analysis it is quite simple to see two bearish trend lines. Both are described where they originated from on the chart. I want to make it clear we can not just assume a price prediction based off a few trend lines, however, there is such high significance in the many rejections we have had off these two lines. (chart does not go back to 2017, however check it for yourself and just drag a trend line and see why we are going down)
This is a trade that could play out staight away, or over weeks. However, one thing i am certain off is that WE WILL see the price drop before we break up. There is a risk of wicks breaking above but not holding, and you should be aware of stop hunts, liquidation hunts and how different exchanges come with 'questionable price movement'. I have highlighted area of both a dead cat bounce range and where heavy resistance lies
I just want to add from a fundamental perspective; the halving effect. I urge viewers to look at price action post-halving for previous bitcoin halvings. Prior to the btc halving that recently took place we saw a dump, followed by an eventual breakout to test the $10,000 range. This my FRIENDS, was simply trapping 'dumb money' to faciliate more liquidity as per 'market movers'.
Now, this trend depending on how it plays out, will be a scalpers paradise. But I do fear a high level of risk associated with this, and people will get trapped in both longs and shorts due to trying to catch every level of opportunity.
My advice to shorters is quite simple; yes it will be tempting to take profit but risk management application says, DON'T.
I am not going to explain moving averages, lucid sars, emf, fib levels, rejections, bias, td sequential and so on as this will require a comprehensive write-up, and as stated this is something I will do in the future. But as of now, I present to you.........'The Big Short'
Trade safe
All of my charts thus far have been shorts, and that is for a strong reason. In this analysis it is quite simple to see two bearish trend lines. Both are described where they originated from on the chart. I want to make it clear we can not just assume a price prediction based off a few trend lines, however, there is such high significance in the many rejections we have had off these two lines. (chart does not go back to 2017, however check it for yourself and just drag a trend line and see why we are going down)
This is a trade that could play out staight away, or over weeks. However, one thing i am certain off is that WE WILL see the price drop before we break up. There is a risk of wicks breaking above but not holding, and you should be aware of stop hunts, liquidation hunts and how different exchanges come with 'questionable price movement'. I have highlighted area of both a dead cat bounce range and where heavy resistance lies
I just want to add from a fundamental perspective; the halving effect. I urge viewers to look at price action post-halving for previous bitcoin halvings. Prior to the btc halving that recently took place we saw a dump, followed by an eventual breakout to test the $10,000 range. This my FRIENDS, was simply trapping 'dumb money' to faciliate more liquidity as per 'market movers'.
Now, this trend depending on how it plays out, will be a scalpers paradise. But I do fear a high level of risk associated with this, and people will get trapped in both longs and shorts due to trying to catch every level of opportunity.
My advice to shorters is quite simple; yes it will be tempting to take profit but risk management application says, DON'T.
I am not going to explain moving averages, lucid sars, emf, fib levels, rejections, bias, td sequential and so on as this will require a comprehensive write-up, and as stated this is something I will do in the future. But as of now, I present to you.........'The Big Short'
Trade safe
Note
Highly indicative - starting to see some correlation here even more so. As stated on image, there are 3 potential outcomes for that time frame, again, this is why I mentioned that there will be opportunity to scalp; although at high risk of a dump that happens quickly. Don't fall victim to greedNote
Note
Starting to see the correlation.....this is going to trap more bulls and high lev shorts. Overall, this is a short. If you're long, you're wrong.Note
Really starting to play out like the previous dump, see how we went up to try and break the 50MA and got rejected, just like the last dump. I believe when we test the 100MA, we will finally break down with a big judas candle. Price range to breakdown $9250-9300Note
Playing out perfectly for the DROPNote
Slight adjustment to trend line from 10k rejection. Is this now the start of the dead cat bounce, into a dump.Note
Note
The BIG Short is STILL in play :DNote
Turns out the last little pump we had was just a false breakout into what is now a bearish pennant. The area we are zoning in, or rather just about to drop out of, is capitulation i believe.Note
Starting to see increase in sell pressure on small time frames, further compounded by larger pressure from 9.5-10k region.
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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.