BTCUSD: Break Of Bearish Trend Line Means Bulls Taking Control.

BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
BTCUSD update: Inside bar formation leads to price spike into the 6431 to 6614 resistance zone . This should not be that surprising if you have been following my recent articles on S.C. and on here. The bearish trend line which was compromised in this move is the first confirmation that a broader bullish move is in progress.

It all started with the pin bar 8 days ago. I wrote about the significance of it's size and location. The 6431 to 6614 resistance happens to be a minor .618 zone relative to the recent 6850 high. The simultaneous break of this zone and bearish trend line are significant signs of strength.

As I wrote in my S.C. article earlier today, the shallow higher low which has been established by the inside bar , is a riskier location for a swing trade. Our plan is to wait for the next retrace in order to enter a swing trade long.

An attractive location for a setup would be the 6126 to 5977 support zone (.618 of current bullish swing). In light of the probability of this broader area, we are anticipating a higher low formation rather than a retest of the lows on the next pull back.

The mistake to avoid is to chase this market now. Even though it has potential on the bigger picture, the risk of retrace increases as it climbs. At S.C. we have been writing about accumulating inventory for weeks across all of these coins. As this market bottoms, we are in a general position to benefit, whether we catch the smaller individual trades or not. And that is the whole point of employing strategies across multiple time horizons.

In summary, do not worry if you missed this squeeze. As I wrote on S.C., opportunities are infinite but at the same time infrequent. Patience is your best friend in these markets. One of the most valuable skills you can develop as a trader is the ability to wait.

If a broader move higher is truely in progress, there will be more opportunities to get long that offer much better reward/risk. The next retrace will be a very important test for this market. Prepare for it now rather than fretting over the movement that has resulted from signs that appeared days ago.
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ROCK SOLID advice as alway, Marc.

For grins and giggles, I would like to suggest that the squeeze wasn't short inspired, but manipulated.

I want to further bog down the imagination... with extreme thinking.

Do I think this WILL happen? Unlikely. Is price manipulation real? I think so and I trade on it.

Remember, even this chart does not reflect my sentiment, it just gives an amusing perspective.

+7 Reply
Larrycrypto TradeClass
@TradeClass, That first big dip on your chart after this move up would be good to see.
+1 Reply
angula TradeClass
@TradeClass, well well, which elliot wave is your leg-up? if its "4" on the broader scale leg "5" as a corrective wave should lead to below 5.8K. Until now - no matter if manipulated or not - the bear market didn't really start yet since market structure is still given. I assume, that we will see anything between 8.3 and 8.7 K before we have our last move probably around end of July down to 4.5K - 5.3K in August and September.
@angula, that's a great analysis. I have some questions for you. Did you read the notes I added to the face of the chart? Where do I say I used Elliot wave? On the right side of the charts, I state these are not true price pivots.. any reason you are complaining to me about what I already covered? What about the left said of the chart.. didn't I state this is compiled by something called Wild Theory? So how is Elliot wave theory supposed to be Wild Theory, because I must be missing something here...
+1 Reply
it's a slippery slope
+2 Reply
Amazing as usual... always waiting for your updates
+2 Reply
+1 Reply
Thank you for you analysis.
I assume that we still might drop to 6300 and then jump up to 6900-7000. So, I am long. And what do you think?
Looks they did check the last update
good work by the way @MarcPMarkets
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