Good morning, traders. Just a heads up, I am dealing with technical issues this morning with our Internet service provider and may not be able to stream today at 10 a.m. CST as I usually do. I will post an update in Discord and Telegram, as well as on our other social media pages, if I am able to live stream at some point today.
It's Monday and we have finally seen a little action as price quickly dropped $130 before rebounding and then dropping further. Price found resistance at the 15 minute S4 pivot after this first drop. The 4H RSI hit oversold on this drop, so this may have been a Spring or Shakeout on that blue 4H local TR which would make it an LPS on the larger TR. Time will tell as we watch volume and price action after the sell-off completes and the market stabilizes.
The bounce off $6208.37 is inline with where I have been stating during the live streams that I will be watching for price to bounce from if it dropped out of that local TR ($6200-$6250). TensorCharts.com's Bitmex orderbook has sells at almost a 10:1 ratio against buys during the first 5 minute drop, with a whopping 23K to 2500, and 3:1 sells against buys during the second 5 minute drop (9677 to 2878). OBV dropped strongly when price did. This was manufactured movement likely done to stop hunt and create liquidity. The 15 minute chart showed bullish divergence deeply within oversold territory which resulted in price appreciation, but continues to flirt with oversold. It is up to the market to show us how it's feeling about everything now. Has enough supply been removed from the market yet to enable the upward momentum needed to pull price out of this year-long correction? Or will we continue to move sideways within the larger TR? We will see. In response to this morning's drop, shorts have begun rising once more on, both, Bitfinex and Bitmex. Traders shorting the bottom of this drop should be very cautious. A move back up into the blue TR would be significantly bullish for the pair.
Overall, price remains within the larger 1D black TR. So, even with this movement, price really hasn't moved much at all - it remains sideways. I continue to watch that 1D TR between $6095 and $6587. Once price moves through the resistance or support of that TR, I will evaluate the movement to decide whether I will enter at that time. Until then, all this little movement is nothing more than noise with a risk that is far too great in exchange for any reward for me.
Remember, you can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.
It's Monday and we have finally seen a little action as price quickly dropped $130 before rebounding and then dropping further. Price found resistance at the 15 minute S4 pivot after this first drop. The 4H RSI hit oversold on this drop, so this may have been a Spring or Shakeout on that blue 4H local TR which would make it an LPS on the larger TR. Time will tell as we watch volume and price action after the sell-off completes and the market stabilizes.
The bounce off $6208.37 is inline with where I have been stating during the live streams that I will be watching for price to bounce from if it dropped out of that local TR ($6200-$6250). TensorCharts.com's Bitmex orderbook has sells at almost a 10:1 ratio against buys during the first 5 minute drop, with a whopping 23K to 2500, and 3:1 sells against buys during the second 5 minute drop (9677 to 2878). OBV dropped strongly when price did. This was manufactured movement likely done to stop hunt and create liquidity. The 15 minute chart showed bullish divergence deeply within oversold territory which resulted in price appreciation, but continues to flirt with oversold. It is up to the market to show us how it's feeling about everything now. Has enough supply been removed from the market yet to enable the upward momentum needed to pull price out of this year-long correction? Or will we continue to move sideways within the larger TR? We will see. In response to this morning's drop, shorts have begun rising once more on, both, Bitfinex and Bitmex. Traders shorting the bottom of this drop should be very cautious. A move back up into the blue TR would be significantly bullish for the pair.
Overall, price remains within the larger 1D black TR. So, even with this movement, price really hasn't moved much at all - it remains sideways. I continue to watch that 1D TR between $6095 and $6587. Once price moves through the resistance or support of that TR, I will evaluate the movement to decide whether I will enter at that time. Until then, all this little movement is nothing more than noise with a risk that is far too great in exchange for any reward for me.
Remember, you can always click on the "share" button in the lower right hand of the screen, under the chart, and then click on "Make it mine" from the popup menu in order to get a live version of the chart that you can explore on your own.