My concern at the moment is that we had confirmed bearish divergence with overbought RSI on the 4-hour chart. Like bull divs with oversold RSI are usually local bottoms, this usually signals a local top. We got a drop yesterday - that could be it, but I would proceed with caution. This was a classic short signal. This could indicate that we will stay in the bottom...
Bitcoin remains in a local bullish trend, trading just below the center of the trading range. A break above the $67,000 area should send price eventually towards the range highs, around $73,000. This is far from guaranteed - we first want to see price trading in the top half of the range. Still chop…
Trading Alpha has turned bullish on the daily chart, and gave the signal early in the candle that things were about to get spicy. As you can see, there was a yellow squeeze shade and then a grey arrow, showing the volatility would be to the upside. What we ended up with was a move through the track line and a huge candle spread. Nice. That said, this is STILL...
The Bitcoin chart remains perfectly bullish on high time frames, including the weekly. As you can see, Trading Alpha is still showing grey dots and price is trading above a rising green track line. Bitcoin is choppy and boring, but should just require some patience.
A few coins went up Monday and Bitcoin made it to $63,000, causing people to declare "alt season now" and "correction over," because people are spastic and need engagement and/or hope. Charts looks awful across the board. Most coins are still down 90% from last cycle. We have not had a single whiff of a real altseason. Bitcoin has dominated this cycle, outside of...
Yesterday’s candle had a $3000 spread, causing full euphoria in the crypto community. People are looking for ANY evidence that the bull market is resuming in full force. A simple look at the chart made it crystal clear that this price action was a nothing burger. Price is still trading near the range lows, rejected at key resistance etc. Once again, I know...
Bitcoin es muy aburrido. So boring. As you can see, we did have multiple candles test the range lows successfully as support, a decent sign. That said, price is still trading below the track line on Trading Alpha and we don’t have grey dots. I also noticed that RSI has bounced relatively hard back to 50 without much price appreciation to show for it. Chop. I...
Still boring. Yesterday did print a bullish engulfing candle, which is encouraging. We also saw price bounce off of the range low, which is another positive signal. That said, we still are just ranging near the range low and trading below the track line.
I am personally NOT trading altcoins right now and I do not own this coin. That said, it has shown tremendous relative strength for this entire bull market and on this recent drawdown. As you can see, Trading Alpha is showing squeeze shading, a breakout to the upside, a grey arrow showing a buy signal and grey dots. About as clear as it gets. There was also a...
Absolutely a brutal chop fest. The good news? We were all prepared for it, and know that it is highly likely to continue for many months. Hopefully it will not, but if this is just a “normal” 4-year cycle, then we could be doing this until the fall. At the moment, Bitcoin is retesting the range lows set after the all time high. Bulls want to show some strength...
Nothing to see here - really just sideways chop with a rejection at the track line. No signal at all.
Proceed with slight caution. Just as bullish divergence has shown us the bottoms, bearish divergence often shows us the tops - and we have that right now. Becareful on lower time frames here.
Bitcoin printed a lovely weekly candle - a hammer with a long wick down and small bullish body. This is often a sign of strengthening demand (buyers buying up the dips) and of a bullish reversal. That said, this is still just trading in a range, with price sweeping those range lows on higher time frames. Not much to get excited about until we break through the...
Bitcoin is still looking weak, trading below the range and showing little ability to take the range lows. Trading Alpha is still showing bearish dots on every meaningful time frame, with price below the track line. Further, we STILL have not hit oversold yet on RSI after having bearish divergence with overbought conditions in March. The good news? One more decent...
I failed to comment on the monthly close yesterday, which was a bit of a miss on my part. As you can see, we have a massive bearish engulfing candle, not an ideal signal for “up only” bulls that expected no more corrections in this “new paradigm.” We will have to see how this month closes - if it is red, it confirms April’s ugly candle, the first since last...
This is not a trade or a signal, but rather some sweet, sweet hindsight to give some perspective on where we are at. Bitcoin Dominance is obviously Bitcoin’s share of the entire market place. When it is rising, that means that you would generally rather be in Bitcoin than altcoins (select altcoins usually outperform regardless), and when it is dropping you want to...
Broke and retested range lows as resistance. Nothing but air until around $52,000 on the chart. My biggest concern I have been discussing for months (in newsletter) is that RSI never made the trip to oversold. Almost there now, all lower time frames oversold. This is still ONLY A 23% correction, very shallow for a bull market and consistent with other...
Out of sheer boredom, I clicked on my old favorite indicator, the Ichimoku Cloud. Without going into too much detail on how it works. I can say that those who use this strategy should be salivating at ETH at the moment. The flat cloud top (kumo) is considered strong support - this is the third test. The brown line, or Kijun, is also viewed as a support level for...