Bitcoin BTCUSD Next key Buy and Sell Points
Bitcoin is again trying to build a base from a new near term
low established at 9515 on feed. It's made a right
shoulder at 9912 support line since then and is trying hard to
rally but finding resistance from the old parallel above it
which had acted as support earlier on in this decline. It fell
2500 points or 21%, as standard decline for most major
indexes in a major consolidation.
Usually, after such a large decline Bitcoin often forms a V
bottom as hungry buyers chase it back higher again. This is
not the case today. Bitcoin cannot recover from here unless
10262 blue line is retaken and held by the bulls - only then
will we look to go long again with stops 50 or so lower looking
for 10547-10576 range initially and then the next level at the
10772 line to close out again. Day traders will likely close out
at 10547 creating a wave of profit taking, looking to buy back
150 to 200 lower.
On downside bears are still selling off that old parallel above
price now and Bitcoin remains vulnerable whilst unable to
regain 10262 level. To trigger the next short from
here we need to see 9912-9900 broken but even then Bitcoin
will look for support at 9750 line so this will only offer a quick
short scalp in all likellihood. To turn outright again
now Bitcoin now has to bust below 9500 in which event it can
be shorted again back to 9371 at least and likely to 9210-9200
where will look to reverse if struck with stops 50 or so lower.
Short positions yesterday and overnight yielded around 860 points of profit to begin with but the final short from 9750
failed to reach the target and resulted in a 50 point plus loss, so just under 800 points or 8% in scalps. So long as Bitcoin
keeps moving up and down we can make points. So long as half the world thinks it could be worth $50,000 and the other
thinks it's worth $5 we have a big range to trade within. The biggest range in the history of speculation/investment. We
don't need to even believe in Bitcoin or disbelieve either. We just need to follow the signals off the chart and try to follow
them as best we can. Usuually the chart signals tend to work quite well with Bitcoin and produce large gains - and when
they don't, as with the last short overnight, they produce smallish losses. And if you subtract those losses from the gains
made over 3 months of intensive trading (resumed the hunt for Bitcoin in earnest on November 3, 2017) you'll find just shy
of 27,000 points have been scalped from Bitcoin in that period. This was only possible because Bitcoin has moved both
up and down so much in that time. Why seek to own a Bitcoin if it might only be worth $5 at the end of the day? Because it
might also be worth $50k at the end of the day. Who knows, do you? Let others decide its true worth and in the meantime
we can trade both sides of the argument until the day when arguing stops.
The long shot failed and created a 50 point or so loss. Bitcoin is now testing support at 9900 on Coinbase chart - if it fails to hold here it triggers the next short back to 9600 at least, and more likely back to 9397 and then, on a break below here, to 9093 on this feed.
The trigger for the next short - a fall below 9900 - has been given but Bitfinex feed is not following...conflicting signals again.
Stop at 9920 for 21 loss if wrong here due to signal conflict