Bitcoin has had been chopping / consolidating in a large range between 71k and 58k over the last several weeks.
One thing that has stood out to me , is the failure to break the very first initial high set closer to $73k. It seems like BTC is continually making some lower highs as it fails to break into the ATH territory.
To me, it may be a signal that the market is lacking sufficient liquidity to push the price higher, as we don't have enough buyers willing to purchase the Bitcoin near the highs.
Another sign is the new ETH ETF coming to fruition, which may resemble the same type of price action when the Bitcoin ETF was approved. Where we saw an initial dump (liquidity grab) before rocketing up to $70k.
You must understand that we have not had a significant enough pullback to larger support ranges since. As a result, the market has left many gaps and single prints (large candles with big moves) that have yet to be confirmed as support zones. I have marked these zones as the red rectangles on the SBIT chart to highlight where the market has not confirmed the move.
We also have the 21 ema starting to curl as price begins to try and break above the zone. This moving average , once broken and confirmed as support can provide confluence for a change in directional trend.
For these reasons, I have decided to take a swing trade on SBIT which is a 2x leverage ETF as we are at the lows of the total historic range, and a double bottom break above $35.
I will be cautious with equities and cryptos this summer as we may see a drop in liquidity as people take summer time off, and perhaps take profits on the move from the last half of the year.
Only time will tell!
Good luck
One thing that has stood out to me , is the failure to break the very first initial high set closer to $73k. It seems like BTC is continually making some lower highs as it fails to break into the ATH territory.
To me, it may be a signal that the market is lacking sufficient liquidity to push the price higher, as we don't have enough buyers willing to purchase the Bitcoin near the highs.
Another sign is the new ETH ETF coming to fruition, which may resemble the same type of price action when the Bitcoin ETF was approved. Where we saw an initial dump (liquidity grab) before rocketing up to $70k.
You must understand that we have not had a significant enough pullback to larger support ranges since. As a result, the market has left many gaps and single prints (large candles with big moves) that have yet to be confirmed as support zones. I have marked these zones as the red rectangles on the SBIT chart to highlight where the market has not confirmed the move.
We also have the 21 ema starting to curl as price begins to try and break above the zone. This moving average , once broken and confirmed as support can provide confluence for a change in directional trend.
For these reasons, I have decided to take a swing trade on SBIT which is a 2x leverage ETF as we are at the lows of the total historic range, and a double bottom break above $35.
I will be cautious with equities and cryptos this summer as we may see a drop in liquidity as people take summer time off, and perhaps take profits on the move from the last half of the year.
Only time will tell!
Good luck
Note
Taking some nice profits and will leave some running. Albiet we may have a triple top here at a key level. A break and close below the trendline would be more bearish for me (aka bullish on bitcoin).
On BTC we have a symmetrical triangle as well which may be a fake-out. Todays monthly close would be quite important at the level of $67k.
Note
So far looking good, extended my stop slightly and added some of the profits back into the position to continue hedging. Note
The current range developing Note
Here is what I am looking for. The next range is quite a ways above us. Either we will reject at the Value Area Low, or we will reclaim the range and move towards the POC above. Note
Approaching resistance S/R Flip and big physiological level above $40. Taking some good profits, and leaving some to run in case BTC continues to move lower. Note
This would have been your hedge trade. Now BTC is at a critical decision level. If we break now, we will see much lower prices. SBIT above $43 is a sign of strength Note
We are also into the CC zone. Which if rejected can signal a reversal. Note
SBIT shooting up above $43 and moving into the fair value gap target for this trade. Trade closed: target reached
Target Reached. Let's see where the market moves from here!Note
That POC though....Note
The next day openNote
technicals....Note
Looking at the CC retrace, as well as the previous POC + VAH zone as confluence for potential reversal. 
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.