BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
281 views
10
281 0
I have been looking out for a bull trap and must admit that I was wrong a few times. Personally I still think that the market was manipulated to go this far (just my opinion). But to me this is a textbook example of how a bull trap would look like. The next two days will provide a lot of information, but I am putting my bear hat on here. Not sure if we are going all the way down to below 5k, but this could be the beginning of a big fall. All I am saying is, be cautious...
Comment: My thoughts of a good correction is one that would end in buyers and sellers being in an approximate equilibrium. Enough confidence needs to be lost to leave enough doubt that would result in a steady ascent to build confidence. A steady ascent, even going sideways for a while before winning over the bulls for a good run to all time highs is what a final correction would conclude. The sharp increase on 6 Feb means that the market is totally controlled by greed. The price was almost doubled in less than two weeks. That is insane. I may be wrong still, but for me this could not have been the end of the correction. And if it was, I would be weary for growth to new ATH prices. On the other hand the crypto market does leave us with surprises :-)
Comment: Broke the short term upward channel support as well as important support at 10.8k. I am guessing we should go to around 10k short term to test new support.

Comment: I forget to mention the huge support of the 200 exponential moving average at around 10.3k. So two big supports at 10.3k and (9.8k to 10k).
Comment: Just broke the 200 EMA on 1h and 4h charts, need to close below this. If there is a close below, much more sell offs will occur. At least to 9800.
Comment: Interesting: Should the day close below 10k, we would be sitting with a massive bearish engulfing candle, devouring 5 bull candles. I then expect at least a couple of days of bearish candles.
Comment: Here the massive bearish engulfing candle. The bears are out of hibernation!

Comment: Looks like a bear flag formation to me. My feeling is that we should be breaking out and likely continue lower to at least 9.3k shortly. If this level breaks, next stop 9000.

Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing House Rules Moderators Website & Broker Solutions Widgets Charting Solutions Get Help Feature Request Blog & News FAQ Wiki Twitter
Profile Profile Settings Account and Billing Get Help Ideas Published Followers Following Private Messages Chat Sign Out