Bitcoin to $32k

Why?

1) Moon boys on Youtube are at maximum annoyance levels. Euphoria is high, I have folks talking about BTC who never mentioned it before in their life.

2) Stochastic RSI is crossing down 80 on the above 1-=day chart following the overbought condition (green column).

Is this the end?

No - Bitcoin is in an uptrend. A strong bounce between $36-37k will mean a rally to around $60k as quick as that.

A collapse of support at $36-37k will mean an express elevator ride to $32k. If that fails.. $26k.

In summary risk / reward is very poor. There are better long positions elsewhere.

Trade active

Trade closed: target reached:

Kaboom.

Remember if $32k does not hold it is straight to $26k.

If $26k fails to hold it is straight to $19.5k (Most probable).

Comment:

$32k has failed to act as support as has RSI support in the top chart. That means $26k is next.

Comment:

This move back up to $40k has fake out written all over it. The bulls are certainly tenacious. A 2nd opportunity to go short once the previous high is reached again. Only this time the pull back will be more violent than the first.

Trade active:

Bulls make money, Bears make money, & pigs get slaughtered. If you listen carefully you can hear the squeals.

Comment:

And back to $23k we go. RSI support has now failed. Price action could rebound to test as resistance. Assuming that does not happen price action will remain in a downward pattern until Mid-February.