xtremerider8

BTC shorts: a useful tool to anticipate potential tops & bottoms

Long
BITFINEX:BTCUSDSHORTS   BTCUSD Shorts
I just recently found this tool useful in timing the approximate time to be ready to sell or to buy BTC . If you backtest, it predicted correctly the 64k & 69k tops. However, during the 29k bottoming process, there was so much pessimism that the shorts continue for a while even after bottoming. But then there was already volume of buyers so BTC went up & the shorts again fell after confirming the reversal.
The whole month of April 2022 saw BTC falling consistently from key resistances. We may see the same thing happen again in May according to this chart. We have not yet seen the elevated levels of shorts yet inside the box.
A good time to start accumulating may come in end of May or early June when it reach the top of the consolidation box (0.618 Fibo) awaiting reversal or even to BO for even more shorts. (Remember “Sell in May & Go Away”?)
In case of BO & holding above box, we may see parabolic selling of BTC going into early June but the BTC bottom-reversal will be fast once sentiment changes from bearish to bullish anytime within June to July.
Approximately August may be a potential time to sell when the bottom of box is reached once again where everybody seems bullish & shorts are again at its lowest. (Be a contrarian)
Not trading advice

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