Lower highs often lead to lower lows. This market is in a tricky area. If buyers hold up, price can produce a shallow higher low and squeeze higher and break the .
If price takes out the 7413 low, that can invite further momentum which can take price back to the low 7Ks. Based on the technical structures in place, it appears price is more likely to lean more toward the side on the short term.
I am all for being , but two things need to happen in order to prove this market is in a sustained rally. First, the needs to be cleared. Second, the 8185 needs to be taken out. This is the .382 of the recent structure.
Keep in mind price can go as low as 6904 which is the reversal zone boundary and still be in a position to reverse sharply. It is a matter of waiting for the price action to confirm.
In my earlier report on S.C., I also compare inventory building with swing trading. If this market pushes the 7K low, there will be an opportunity for both types of strategies.
In summary, at this point I am just waiting for the next swing trade while accumulating other coins for long term inventory. S.C. is where I will share the next trade idea for this market.
Remember, flat is a position.