$10k Soon To Be Support Becomes Resistance

I had a good day yesterday shorting BTC.

Today the plan for intraday scalps and maybe longer term swings is to look for evidence that the major $10k psychological level that was support becomes resistance to the up side.

Since it has dumped hard recently there is reason to expect it will make a few retraces back up before $10k is finally established as resistance, so might might take patience over the next week or so for this to play out. However I expect this to be a major theme and is the primary question that the crypto market needs to resolve.

See attached chart for overall top down thinking on why btc is in bear mode now.

Comment:

BTC showing a lot of strength this morning so I am unlikely to take any trades today. Waiting for it to dump out to the low and the would want to fade tests of those former lows from below.

Today is looking more like a consolidation with bullish bias type day and has had lower volume than usual at the open so it is not favorable for day trades ATM.

Comment:

Today ended as a bullish trending day so was correct not to trade at all since is countertrend to bearish bias. Price is significantly above 10k price so really not very interested in BTC much. Plan is to have patience for it to dump below 10k then fade tests back to $10. May scalp on very short term with short bias if I get script signals for it but overall btc does not hold my attention much while above 10k.

Comment:

Made mistake about the opening volume yester being low, it was actually above average.

However today the opening volume really is quite low so I would not be surprised to see it end as a doji which might then be a catalyst to test below 10k again.