Bitcoin Double Top Update + Bear Market Confirmed !
Yesterday I wrote about the Double Top Chart Pattern that was taking shape on the Bitcoin chart (You can read the article HERE where there is a detailed explanation for this current pattern) and today it seems like we need one more element for it to be completed !
Double Top
Yesterday the chart looked like this :
Today the chart looks like this:
Ideally the chart should look like this :
To be honest I really don't think that we will see the "ideal" setup, I believe (as I have drawn above) that we will bounce from the neckline (support) at 9400$ and for this pattern to be confirmed we need to break the 8000$ level ( revised from 8500$ mentioned in the previous article). At this point it will be the correct call, for now it is still developing.
Bear Market Confirmed
For me one of the main indicators for a bearish/bullish market is how the market reacts to news. Today we had interesting headlines :
- Japan Crackdown On Cryptoexchanges that don't comply with KYC
- Mt.Gox is selling batches of BTC ( doesn't really explain current selling)
- SEC Crackdown
These news may be significant, but the market kind of overreacted to them. 1000$ in a matter of hours is a very sharp move even for BTC.
On the other hand previous weeks we had lots of positive news - LightningNetwork, Lower Fees etc. and the market didn't seem to be very favourable. Yes the price climbed back to 12,000$ but it did it on low volume and for a month. Today we erased a big chunk of the gains very fast.
When a market tends to ignore bullish news and overreact to bearish news is a indicator for a bear market.
What is your opinion on that ? Do you think this is another "buy the dip", neutral or you are shorting ? Let us know in the comments !
i feel like technical analysis isn't going to work today that huge drop was from all the binance accounts being hacked and api's added they made them sell all of there altcoins for btc then buy via coin for 350$ when its worth 2$-3$ someone estimated it and about 46 mil was spent on via coin today at crazy high prices
Yes, I read about that! Even if so the price is still way below where it was, so I guess there are lots of sellers still at these levels. Interesring to see what happens
right now it seems to be going back up and correcting from this also BMO just started blocking crypto purchases so that can play a role aswell i was going to buy another etherum today because it was cheap but couldin't :(
I personally am short ETH :D but who knows, I have a good price :) best of luck next time
ETH is my favorite it can do so much smart contracts are the future
I also have a long-term portfolio, whcih I don't trade. In this case it is a trade, not a long-term investment :)
Market goes very low ( below $397B), black day, black week, and black months maybe but I never hope for a black year! The bullish will dominate later or soon. Hmm... let us see! upvoted and resteemed
Thanks. Currently it looks like we might test the 9000$ level :) but we will see how it goes
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