What is up Traders, hope you all are doing well where ever you are!!
In today's analysis, we will be covering the bigger picture, the market leader, the big girl- BTC cause big girls need love too!
Before we go into detail, here are some points to consider:
- The world is on lockdown due to the coronavirus/COVID-19
- Unlimited quantitative easing
- BTC macro trend is bearish
The coronavirus has been used as a fundamental catalyst to correct the financial markets of the world including the cryptocurrency markets.
Majority of the world has literally had to stop its daily operations causing instability and volatility in today’s economy.
As a result of this, the FED has announced unlimited quantitative easing/printing of money to stabilize and keep the economy afloat.
Printing more money fixes the problem short term BUT devalues the currency and decreases its purchasing power in the long term.
Overall what this means for the markets of the world is a risk bounce and stabilisation in the short term as the FED buys back stocks and does whatever it takes.
As we can see BTC is still in a macro downtrend, putting in consecutive lower highs on the daily timeframe. But as the world's markets stabilise, we could see BTC head back up to re-testing the DMAs and possibly retest the resistance of the macro downtrend before heading back down.
The majority of my money is only interested in trading the macro trend where the real money is made, everything in-between I see as just noise. Until we break out of this downtrend and re-test to make it support, I’m still a bear and my money is looking rather juicy at the 2800 level. Although trying to catch a bottom is the equivalent of trying to catch a falling knife- dangerous and bloody so be careful!
The time frame of all this playing out, in my opinion, will be greatly dependant of the severity of this Virus and how long we’re locked down for. The coming few weeks will entail a lot but as of today the cases and deaths, unfortunately, are increasing exponentially and at this rate, we could see this play out rather quickly.
I’m very interested to know what you all think about all this and your thought process If you have any opinion or would like to add anything, please do so in the comments below!
If you like what you see and this has brought value to you, make sure to hit the like and follow button as it adds value to me!
In today's analysis, we will be covering the bigger picture, the market leader, the big girl- BTC cause big girls need love too!
Before we go into detail, here are some points to consider:
- The world is on lockdown due to the coronavirus/COVID-19
- Unlimited quantitative easing
- BTC macro trend is bearish
The coronavirus has been used as a fundamental catalyst to correct the financial markets of the world including the cryptocurrency markets.
Majority of the world has literally had to stop its daily operations causing instability and volatility in today’s economy.
As a result of this, the FED has announced unlimited quantitative easing/printing of money to stabilize and keep the economy afloat.
Printing more money fixes the problem short term BUT devalues the currency and decreases its purchasing power in the long term.
Overall what this means for the markets of the world is a risk bounce and stabilisation in the short term as the FED buys back stocks and does whatever it takes.
As we can see BTC is still in a macro downtrend, putting in consecutive lower highs on the daily timeframe. But as the world's markets stabilise, we could see BTC head back up to re-testing the DMAs and possibly retest the resistance of the macro downtrend before heading back down.
The majority of my money is only interested in trading the macro trend where the real money is made, everything in-between I see as just noise. Until we break out of this downtrend and re-test to make it support, I’m still a bear and my money is looking rather juicy at the 2800 level. Although trying to catch a bottom is the equivalent of trying to catch a falling knife- dangerous and bloody so be careful!
The time frame of all this playing out, in my opinion, will be greatly dependant of the severity of this Virus and how long we’re locked down for. The coming few weeks will entail a lot but as of today the cases and deaths, unfortunately, are increasing exponentially and at this rate, we could see this play out rather quickly.
I’m very interested to know what you all think about all this and your thought process If you have any opinion or would like to add anything, please do so in the comments below!
If you like what you see and this has brought value to you, make sure to hit the like and follow button as it adds value to me!