Weekly Wrap Up Bitcoin 4HR
News
- US SEC Sets October 26 Deadline for Reviewing Nine Bitcoin ETF Applications. (cointelegraph.com/ne...oin-etf-applications)
- 54% of Institutional Investors think Bitcoin has bottomed. (cointelegraph.com/ne...has-already-bottomed)
Analysis
Bull Scenario
- Bulls hold $6600 +- $20.
- More consolidation and it pushes up to test the 200 MA.
Lots of resistance from $6640-$6770 with $6850 being the big one before $7k.
Bear Scenario
- Bears step in with heavy volume and break exponential support thereby turning it into resistance.
- Higher Lows are broken and sell pressure increases.
Lots of support from $6400-$6550. Those are going to need to be broken before retesting the low $6ks.
What the Indicators Say:
- RSI on the 4hr is touching 60 (Overbought is 70). Earlier time frames have it as overbought but retracing.
- MACD is still relatively neutral.
- Volume is great for the bulls.
- Market sentiment is neutral/bullish. (The more bullish, the more people take risks due to FOMO).
Sidenote
- Most of the trading going on at the moment is being done by "bots". Bots tend to use technical analysis so keep an eye on indicators such as the EMA, RSI etc.
- Volatility is still at an all time low.
Personally, I think the bottom is in $6k. Despite some of the negative press over the last few weeks the dumps have barely made dents as opposed to last year. This, to me, shows that the amount of sellers has been reduced drastically. Furthermore, if you know what you're doing then this area $7k - $6k can be very profitable. Personally, I've been trading ETH and you can make good profits off of $5-$10 moves should your entry be well timed.
Tin Foil Thought
Finally, over the last few days I noticed that when there was a "breakout" there were quite a few massive positions that were liquidated. That said, I find it very hard to believe that people in these massive short positions would not take profit despite them having a nice little stack. I have a theory that some whales are putting those orders in and loading up their position (opposite), pushing the price into those liquidation orders which end up cascading into massive BTC profits that can offset the liquidated position.
News
- US SEC Sets October 26 Deadline for Reviewing Nine Bitcoin ETF Applications. (cointelegraph.com/ne...oin-etf-applications)
- 54% of Institutional Investors think Bitcoin has bottomed. (cointelegraph.com/ne...has-already-bottomed)
Analysis
Bull Scenario
- Bulls hold $6600 +- $20.
- More consolidation and it pushes up to test the 200 MA.
Lots of resistance from $6640-$6770 with $6850 being the big one before $7k.
Bear Scenario
- Bears step in with heavy volume and break exponential support thereby turning it into resistance.
- Higher Lows are broken and sell pressure increases.
Lots of support from $6400-$6550. Those are going to need to be broken before retesting the low $6ks.
What the Indicators Say:
- RSI on the 4hr is touching 60 (Overbought is 70). Earlier time frames have it as overbought but retracing.
- MACD is still relatively neutral.
- Volume is great for the bulls.
- Market sentiment is neutral/bullish. (The more bullish, the more people take risks due to FOMO).
Sidenote
- Most of the trading going on at the moment is being done by "bots". Bots tend to use technical analysis so keep an eye on indicators such as the EMA, RSI etc.
- Volatility is still at an all time low.
Personally, I think the bottom is in $6k. Despite some of the negative press over the last few weeks the dumps have barely made dents as opposed to last year. This, to me, shows that the amount of sellers has been reduced drastically. Furthermore, if you know what you're doing then this area $7k - $6k can be very profitable. Personally, I've been trading ETH and you can make good profits off of $5-$10 moves should your entry be well timed.
Tin Foil Thought
Finally, over the last few days I noticed that when there was a "breakout" there were quite a few massive positions that were liquidated. That said, I find it very hard to believe that people in these massive short positions would not take profit despite them having a nice little stack. I have a theory that some whales are putting those orders in and loading up their position (opposite), pushing the price into those liquidation orders which end up cascading into massive BTC profits that can offset the liquidated position.