Bitcoin has showed us low volume break out on the daily. RSI shows this to be a weak bounce it will once again find sellers in this area that will start to take profit once we start pointing down. It seems as thought this may have been a silght short squeeze that started from the $3300 level as the bulls failed to push us below to $3000. That and some well timed news about the new chairman being pro-crypto may have forced an early bounce and failure to push the price below $3250. We have seen an increase of $500 in one daily candle giving bulls the momentum necessary to break above the critical $3750 - $4000 area. Since we are in an extremely bearish market we are to continue to leverage and hedge our positions with bearish trades until we have clear indication of a longer term (2-6 week) bottom. Bitcoin bulls will have a very good shot at pushing the price over $3750-4000 which will force us to exit our short trades and potentially go neutral until we find an area to re-short.
My targets for a proper bearish bounce will be as follows;
$3000 to start to cover shorts and open longs right above and under $3000.
I also think that the market can go sideways, or become very boring over the next few weeks with all the holidays around the corner. If you could stay out of this market its probably best that you should. I wouldn't expect too much action in the days to come closer to the holidays. We should have clearer direction and great long plays in the area with most demand $2500-3000 Area.
Best of luck, This is not trading advice.
My targets for a proper bearish bounce will be as follows;
$3000 to start to cover shorts and open longs right above and under $3000.
I also think that the market can go sideways, or become very boring over the next few weeks with all the holidays around the corner. If you could stay out of this market its probably best that you should. I wouldn't expect too much action in the days to come closer to the holidays. We should have clearer direction and great long plays in the area with most demand $2500-3000 Area.
Best of luck, This is not trading advice.