2018-6-18 BTC LONG (mid term) SHORTS vs LONGS BITCOIN
Let's make a deeper analysis of BTC price action now that BTCUSDSHORTS stopped
increasing exponentially.
At left you can see BTCUSDSHORTS (candles chart) vs BTCUSDLONGS (line chart).
I told you that increase was unsustainable. It was. Shorts stopped increasing
and price went up, as expected. All biased crypto twitter didn't see that coming,
as expected too. As you can see on BTCUSDSHORTS RSI, it went down below 70 as fast
as it went up. BTCUSDSHORTS fell more than 11% in last 6 days and BTC rised 12%.
Not bad, right? But will BTC keep growing? Let's see.
At right you can see BTUSD 1D chart. The thick black line acted really well as a
support (as I told you before). The red line will be as important as the support.
BTC spent a really long time respecting this line as support and now it became a
resistance. It may not be easy to break it. But I believe BTC is going to break it
not too far in the future.
The blue circle in RSI shows how oversold
BTCUSD got in the same time as BTCUSDSHORTS were getting overbought. Now, RSI
moved above the oversold zone, retraced and failed doing a lower low (this is
a good reversal signal). The red line in RSI is an important resistance and needs
to be broken so the upward movement keep going.
The MACD bullish divergence is still valid, it must cross the signal line and
swing above the dashed red line to be confirm the reversal signal. We will see
if that's going to happen...
In the right bottom you can see the shorts vs longs % compatison. Just like in
last bottom, shorts and longs have converged and entered in indecison zone (closer
to 50%). As price starts growing, is important that longs % grow together, this
represents that more people are believing in the upward movement.
I believe today's price movement was really good, but today we will probably see a
retracement, a sustanaible uptrend is important in this indecison zone where BTC is
and a decrease in price now would be beneficial.
This is an update of this idea:
2018-6-12 BTC Current berish cycle comparison with BTCUSDSHORTS
increasing exponentially.
At left you can see BTCUSDSHORTS (candles chart) vs BTCUSDLONGS (line chart).
I told you that increase was unsustainable. It was. Shorts stopped increasing
and price went up, as expected. All biased crypto twitter didn't see that coming,
as expected too. As you can see on BTCUSDSHORTS RSI, it went down below 70 as fast
as it went up. BTCUSDSHORTS fell more than 11% in last 6 days and BTC rised 12%.
Not bad, right? But will BTC keep growing? Let's see.
At right you can see BTUSD 1D chart. The thick black line acted really well as a
support (as I told you before). The red line will be as important as the support.
BTC spent a really long time respecting this line as support and now it became a
resistance. It may not be easy to break it. But I believe BTC is going to break it
not too far in the future.
The blue circle in RSI shows how oversold
BTCUSD got in the same time as BTCUSDSHORTS were getting overbought. Now, RSI
moved above the oversold zone, retraced and failed doing a lower low (this is
a good reversal signal). The red line in RSI is an important resistance and needs
to be broken so the upward movement keep going.
The MACD bullish divergence is still valid, it must cross the signal line and
swing above the dashed red line to be confirm the reversal signal. We will see
if that's going to happen...
In the right bottom you can see the shorts vs longs % compatison. Just like in
last bottom, shorts and longs have converged and entered in indecison zone (closer
to 50%). As price starts growing, is important that longs % grow together, this
represents that more people are believing in the upward movement.
I believe today's price movement was really good, but today we will probably see a
retracement, a sustanaible uptrend is important in this indecison zone where BTC is
and a decrease in price now would be beneficial.
This is an update of this idea:
2018-6-12 BTC Current berish cycle comparison with BTCUSDSHORTS
