BTC analysis Sept 21 | 6800 | Be smart

Unless you’ve been dollar cost averaging on the way down now is not a smart place to buy. At least wait it out to give you the proper buy signals\u2028

4h chart 12 candle right on the edge of the cloud catching resistance
4h RSI topped
12h chart kijun and 200 MA
1d price flip on a green one, 100MA, tenkan, Bollinger band, pivot and bottom of cloud all around $6800/6900
6800 horizontal resistance
6575 broken

#1 Rule: Preserve your capital
#2 Rule: Grow your capital

Comment:

Yesterday's shakeout touched both the bottom support ($6120) and quite close to the top resistance ($6570). All in one 30m candle. For those of you who are wondering if this is manipulation. No. It is not. This is a big player in the market that understands how to push it around and utilize the movements and liquidity generated to fill up his own pockets. Let me explain.

When we were hovering between $6250 and $6384, this person knew may have had some short positions open that he wanted to close. And he possibly had some longs/spot buys that he wanted to fill. So how do you engineer this? If you're a big player with a tens of millions of dollars of BTC, you already know that the market is weak and does not have enough bulls to absorb the bears supply. So you have small buy walls holding the price up around the $6250-6384 area absorbing the supply from retail sellers. You also have a ton of BTC that you can market sell to reach your short targets. So first you pull your buy wall, market sell a significant amount of Bitcoin. This makes the market dump, causes fear, hits some stop-losses of others, further dumps the market and accelerates the drop. You close your short position. You have a long position waiting at critical support, say $6120 because you may not have enough money to break through that support. This fills up your big position of long/spot buy. Volume spikes, price spikes, novice retail investors short at critical support because they don't know any better, they get stopped out and then have to jump back into BTC spot/longs to cover their short positions. This further accelerates the run up on price. Big bull whale just became a proud owner of at least 1000+ BTC with the price shooting from $6120 to $6400 in less than 30 mins. This is how you engineer liquidity and win on both ends of the market.

Comment:

Rejected at $6800 as mentioned. Marked the horizontal support/resistance level of $6800 by gold circles.

Comment:

ETH trying to escape the long descending parallel channel it's been trapped in. If it does not get past $250, it may come back into the parallel channel and keep moving down.