BTCUSD HAS FORMED AN ENDING DIAGONAL I BELIEVE AND WILL DECLINE SOON TO THE 8700 LEVEL ONCE AGAIN BEFOER TURNING BULLISH. CME FUTURES EXPIRED ON JAN 26TH SO MARK THAT ON YOUR CHARTS. WE HAVE SEEN THE IMPACT CBOE FUTURES EXPIRATION HAD ON BTC. WILL THE CME CREATE MORE PRICE HAVOC AND FURTHER DECLINES? NO ONE KNOWS AT PRESENT BUT IT IS CERTAINLY A DATE TO KEEP AN EYE ON AS AGAIN I EXPECT VOLATILITY TO INCREAST IN THE DAYS LEADING UP TO EXPIRATION. IN THE FUTURES MARKET CERTAINLY THE MINERS AND LARGE BITCOIN HOLDERS ARE HEDGING PRICE OF BITCOIN SO THEY ARE SELLING CONTRACTS. BUYERS OF FUTURES WOULD LEAVE ONLY SPECULATORS BETTING ON PRICE INCREASE OR LARGE BITCOIN HOLDERS USING CALLS TO CONVERT INTO CASH SOME OF THEIR HOLDINGS. ALTERNATIVELY WHALES COULD ALSO SELL PUTS AGAINST THEIR PILE OF COINS. EITHER WAY THERE IS NO WAY TO BE CERTAIN ON PRICE IMPACT OTHER THAN WATCHING THE CALL/PUT RATIOS ON CME AND NOTING THE CHANGES AND VOLUMES OF EACH. WHEN FUTURES BEGAN TRADING THE PREDICTABILITY OF BITCOIN PRICE BECAME MUCH MORE COMPLEX. PRIOR TO FUTURES THE BTC WHALES HAD ONLY INTEREST IN PUSHING PRICE HIGHER SO DUMPING WAS CONTRARY TO THEIR POSITIONS. NOW, WITH FUTURES THEY CAN PLAY WITH PUTS AND CALLS BACKED UP BY THEIR COIN STACKS TO INCREASE THEIR GAINS OR CONVERT OUT OF BTC TO CASH IN LARGE AMOUNTS THEY COULD NOT DO BEFORE WITHOUT CRASHING THE BITCOIN PRICE.
GOOD LUCK TO ALL CRYPTO LOVING PEOPLE!
GOOD LUCK TO ALL CRYPTO LOVING PEOPLE!