Parabolic it has gone, it can't go up forever, what comes up must come down. The chart looks like BTC did when it touched 20k, I'm not saying its gonna go down 70%, but a 10-15% pull back is a reasonable expectation. I liked the down move yesterday but it was bought right back up today. It won't last forever, and as the Stoch RSI begins to top out, it could roll...
Simply looking at the 10 day MA crossing under the 50 day MA.
Last time it happened was in March. I saw it getting close this morning an initiated a short in SPY. I covered at the close to book profits and will look to re-enter on a bounce back up just below the 10 day ma line, which has acted as a good resistance indicator since we topped out a few weeks ago.
I think we see accelerated selling pressure on the markets over the next few weeks. Technicals aside, market psychology has to be bearish:
1) Buffet still sitting on close to $140 Billion in cash.
2) The market bounce was all fed induced, short covering, hedge funds & traders day & swing trading, bots doing their thing.
3) Long term we will be fine, short...
failure to break down after we broke out of the bearish wedge that everyone and their mother could draw, maybe we drew it wrong and we need a blow off top during earnings this week to breakdown, maybe jobs numbers on Friday is the straw.
My take on the current pattern forming in BTC is this bearish pennant, it will continue to trade in this range until it breaks down.
only short term trades in within the current trend lines until it says otherwise