Bitcoin Declining Inside Downtrend Channel

I'd call it a bad day for Bitcoin, but when compared to the altcoins today Bitcoin is doing well. I suspect that traders are dumping their shitcoins across multiple exchanges as the SEC lawsuits against Coinbase and Binance have traders worried that their cryptos will be delisted, and/or that they might not be able to get their shitcoins or cash off of the exchanges.

Technically, Bitcoin was already declining inside of a downtrend channel while failing to hold above the 8,21,34, 50 and 100ma's before the SEC threw out the lawsuits, and price is now trading below all of the ma's-minus the 200ma-with the ma's rolling over. Price was prime for a continued decline prior to the SEC lawsuits, and now the fear associated with those lawsuits is manifesting in the form of freefall price declines across the crypto space.

Both the PPO and TDI on the Bitcoin chart are showing that there is negative trend and momentum behind price. The PPO is trending just below the 0 level with plenty of room to fall further. The TDI shows the RSI line trending between the 20-60 levels which indicates that the overall trend behind price is negative. Short-term price target is the 200ma and lower channel line around 23K , but a re-test of $20k is most likely.

This isn't a knife that I'd attempt to catch for those looking for steeply discounted cryptos to add to their portfolio. Good chance that quite a few of these cryptos/tokens are going to $0.00 which is something that this space has needed for a long time due to rampant fraud and illegal activity committed by teams behind some of these projects. But, if you are the gambling type, I'd stick with Bitcoin for dip-buying as that is the one crypto that SEC chairman Gary Gensler has stated in the past is "safe" because it is a commodity.

As of 3 weeks ago I no longer have money in crypto or on any crypto exchanges, and I stopped using exchanges other than Coinbase years ago because I thought they were the only safe one since they are regulated. Originally was waiting for BTC to fall back down to $20k to buy back in, but am now actively shorting BTC via the BITI ETF with no plans of transferring money back on to Coinbase. Too much risk right now with the SEC slapping suits left and right while claiming most of these assets are securities.


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