Bearmarket
CryptoMarket Update (#4) : Hidden Bullish Divergences ?Here's your weekly update ! Brought to you each weekend with years of track-record history..
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US30 Daily TF Analysis. More Bearish Momentum!Price has been bearish all month. There is a high chance that it can continue to the major level of support. Daily Candle has closed below the 200EMA which indicates that price has a higher probability of continuing its down trend. Whenever candles start printing below the 200EMA, this is usually a sign of a trend reversal. Anticipating a pull back early in the week but then a continuation to 33600. If price breaks the market structure and fails to form support, there could be more bearish momentum heading towards the end of the month and going into February.
1. Price has been bearish all month. There is a high chance that it can continue to the major level of support
2. Daily Candle has closed below the 200EMA which indicates that price has a higher probability of continuing its down trend. Whenever candles start printing below the 200EMA, this is usually a sign of a trend reversal. Anticipating a pull back early in the week but then a continuation to 33600
3. If price breaks the market structure and fails to form support, there could be more bearish momentum heading towards the end of the month and going into February
We Go Down Together, Up Separately - How Crypto Winters WorkHaving been through a few crypto bear markets before, weeks like these ones don't really come across as a surprise anymore. Yes, crypto goes up a lot, but down a lot, too. It's part of the process. But bear and "winter" markets are actually the best time to do research since the grifters get quiet and there's a lot less noise out there to deal with.
The chart above shows the diverging patterns of returns of various coins out there over the last few months. The idea of everything crypto being pegged to Bitcoin or Ethereum has largely been debunked -- which is also a sign of the market maturing as people become more familiar with the functions of different cryptocurrencies out there. Although this week we saw a uniform drop in pretty much everything -- including the stock market. Possible explanations include: Federal Reserve suggesting interest rate hikes signals the end of "easy money", Russia's ban on crypto trading and mining, hints at COVID-related lockdowns lifting, etc.
Downturns like these are called "corrections" because it's a way for the market to flush out projects that were never viable to begin with, or were running purely on marketing hype to keep pricing going high. That money gets re-circulated back into the system eventually, after a cycle or two to recuperate their losses. The idea is that after having sold, the money will go into projects that are more substantial, after a period of reflection. (Why it's important to have enough patience to at least wait a cycle or two -- which are usually measured in months, not days or weeks.)
Crypto investors need to be particularly careful because right now it is very trendy to be an "online marketer" since the bar of entry for said roles is very low -- and there's an outsized amount of people who have gotten into that line of work since lockdowns have went into effect. But in the end, having a product that solves a real problem is what gives coins their staying power -- as it stands now, the most obvious products (not services) of the crypto markets are:
- NFTs
- Metaverse Plots
- Decentralized Storage (TBD)
Time will tell where things will go, but given the trends of the last year or so, the idea that coins will recover together in a uniform manner (as it's done in the past) seems unlikely. It's a good time to DYOR, if anything, imo.
Bitcoin Quick AnalysisHello everyone,
let´s have a look at the monthly chart of Bitcoin. You can see logarithmic trend line and the price was swimming in the comfort zone and we´re STILL in this comfort zone!!! ( Now take a deep breath and go on reading)
What I have drawn are the last two bear seasons. The Price went down up to 86 % and it took about 3 years to see reach that level again.
The downtrend phase took about 1,5 - 2 years, before the bulls slowly could take over.
Now drawing the fibonacci levels shows us that the price always went under the .786 level and bounced back for a trend reversal.
The current cycle or last ( whatever you want to call it) has the interesting fact, that we have seen two close aths with short correction period. With both aths Bitcoin has built a so called double top, which is supported by the fact, that the MACD made a bearish crossover.
I would say, that the bear have finished winter sleep early and I will not be surprised on lower price levels down to 20 k ish...
Th bullish scenario was a maximum oif 76-79 k USD before dipping down, but the market is exhausted, inflation, corona and many other different impacts made the market lose money.
I am sure, that a lot of whales and others cashed out in profit, which is good. Never forget to realize your wins!
Give me a like, tell me your point of view and don´t forget to follow me on my social channels :)
BTC/USD Bull Market PredictionBased on the chart history of BTC, the initial flash crash of 30% - 40% indicates a more than likely bear market. If so, BTC should bounce off the next support range and retrace to the .5 - .702 fib. After the retrace we should expect an 80% - 90% crash during the bear market. This similar structure can be seen in the past and I am strictly copying the historical data. This should be expected until new events and data prove otherwise. This bull run has been similar to the past bull runs.
BTC technical analysis for next weeksTough days. This is one of the most bearish price action I've seen in the last 2 years there is litterally no retracement only dump even in low uts. And what is even more concerning is that open interest is still very high and fundings are almost no negative after a 50% correction, you can easily guess oi is mostly high because of longs considering of the timings where oi pumped and cause of the funding showing that there is not that much volume in short in comparison to longs.
In addition as I showed in my last ta SP500 is pretty bearish and as we know how much its correlate to BTC...
I'm pretty scared that we slow dump till we trigger a major liquidation cascade because of the lack of buyers and of the bulls being too leveraged.
So I think a retest of the "2021 biggest support" is very likely at this point I almost want to say inevitable but it would be disrespecting a major trading rule
"nothing is 100% sure".
After we've retested the support I think there is 2 possibilities it's difficult to say which one is the most likely at this point we'll see in the next weeks but the 2 possibilities in my opinion are :
-we trigger a major liquidation cascade and goes below the major support but smart money is using liquidity to massively market buying, making a sfp and bull market can resume.
-we trigger a major liquidation cascade and goes below the support but sadly price is still considered too high for the institutions so we just pullback and then continue to dump till the next major support where the demand should be very high.
Have a good day and good luck is this hard market.
BTC hodlers dont want to see thisToday I want to poke my BTC friends a bit. This is a BTC supercycle count and we can clearly identify large five waves. Keep in mind that this chart completely avoids fundamentals. We all know that as long as there is a demand for BTC it will go up thanks to the tokenomics (halving events = fixed supply cap). Moreover, this is long-term chart and it may take a while to truly come true. However, currently it is valid so we should keep it at least at the back in our heads. Is HODL a lifestyle?
BTC 2021 bull run post mortem BTCUSD vs TOTALMKT CAPHere is my run down from the 2020/21 crypto bull market cycle, this cycle followed the classic bitcoin post-halving bull run .
Part 1: Bull run-
- classic BTC/crypto rally (huge% gains, mass euphoria, lots of new investors, parabolic curve)
- however, the top was unlike previous cycles with a distribution range compared with the highly anticipated and previously clear blow off tops
- Increased institutional involvement in the market compared with '13/'17 bull runs.
- Increased retail involvement in the market - (diamond hands mentality amongst masses= stubborn market liquidity)
- no need for blow off top in 2021 run due to relatively stubborn market liquidity + more efficient and controlled order flow/price action
due to institutional presence in market
EFFICIENT + OPTIMAL ORANGE JUICING INVOLVES APPLYING CONSISTENT FORCE, NOT INSTANT FORCE-(hitting it with a hammer)
EFFICIENT + OPTIMAL MARKET LIQUIDITY EXTRACTION INVOLVES CONSISTENT FORCE, NOT INSTANT FORCE-(crashing prices down rapidly)
SMART MONEY MAKES(TAKES) MONEY IN AN ORGANISED, CONTROLLED AND EFFICIENT MANNER
Part 2: Re Accumulation-ALT season
SMART MONEY LOCATES ORANGES WAITING TO BE JUICED
- after the major may '21 sell off, the market moved low and sideways for 2 months whilst the NFT hype was boiling up
- NFT hype goes crazy, and the market runs it up again
- Entire crypto market grows and reaches beyond BTC/ETH APRIL ATHs in a unprecedented (diverging double top-style) manner
What next??
- The bull run for this cycle is over
- As we saw in the bull run, the bear market of this cycle is likely to display new chart and trend characteristics due to the mass influx of both new
institutional and retail investors and the widespread adoption of NFTS and cryptocurrencies.
- I held positions in various crypto throughout various stages of this cycle and have taken all positions off of the table as of mid november. I firmly believe in the future market growth of BTC and crypto as an investment vehicle but wether you are retail or institutional:
THE GOAL IS TO SQUEEZE YOUR ORANGES IN THE MOST EFFICIENT WAY POSSIBLE
Peace people, enjoy your profits 🚀🌚
Will History repeat itself? With uncertainty in the air the market not just AMC and other memestock in general is panic selling. Major general market as well is bearish, such as the SPY for example and including stocks like NFLX had recently suffers a lot downside. However I think this is the perfect catalyst for AMC short squeeze imo. Will 2008 Volkswagen occur again this year? Nobody knows. If we are to fall to $14, or $7, AMC may experience a long consolidation before a rally again. Bad for swing trader, daytrader that are bullish, but good for shares buying at lower price.
Bitcoin, still no buyers interest at this stage, 0 spot volumeAs I anticipated yesterday the dump in this idea , we can confirm that just as at 40k, there is no buyers interest at this stage. This is probably just the beginning of the dump. If you wanna know how I think it's gonna play long term read the related idea or this medium post .
"Get in on time and get out on time"This post marks about my 1 year anniversary on Tradingview and my first year of crypto trading. I have spent over 80% of the last year analysing charts, researching projects and learning the ins and outs of trading... It's been a wild ride! From catching the Ethereum and Bitcoin tops back in April and May and shorting till the depths of fear and capitulation to the resurgence of crypto towards the upthrust after distribution back in November 2021. It was a steep learning curve but I've made to become a profitable trader and paying my bills from these magic internet currencies - and above all; I think it's a lot of fun!
Reflecting on everything I've learned, I think I can summarize it to one rule and one rule only:
"Get in on time and get out on time."
The time to get out came for me back in early December, when I launched my first warning for a potential bear market. A scenario that seems to unfold right in front of our eyes at this very moment. If you cut through the noise and the hype, you see a clear picture:
We have been in a mega bull market since December 2018 and we were catapulted off the March 2020 spring. Monetary expansion and the shift towards the fourth industrial revolution - where data will be the new oil - have created the reappearance of crypto on the mainstage. The future for the crypto industry is bright and we are onto the next stage of mass adoption for the next decade to come. However technology changes fast. What is obvious today, might be irrelevant tomorrow. The transition towards day to day use cases and adoption of the "no-coiners" has yet to come to fruition. A narrative for the future.
The narrative of today is exhaustion. The central banks have exhausted their ability for monetary expansion and have been hit with record inflation, the corporations have exhausted any more reason for higher valuations - many CEO's have jumped ship at all time highs - retail exhausted their bank accounts, the dips have been bought and thus institutions have exhausted their exit liquidity. Market makers were not shy in their mark up phase and they won't be shy in their mark down phase. They have come prepared, striking everyone at surprise - again. Currently, there is nothing left for them than the play the dirty game and chop around to hunt for liquidity before they continue the trend.
With the surprise pump of over 100% on European yields, the quarterly interest hikes and the tapering of the federal reserve as well as the peak formations on most stocks, indexes and cryptocurrencies, uncertainty and disbelief are here. Where the world's richest CEO has already jumped ship together with many of his fellow competitors, we are waiting for who is next - the market is not waiting for; if the trigger gets pulled, but when - who will pull the trigger? Who is the first to get a margin call? What will Michael Saylor do when Bitcoin creeps towards his average buy in price? How will investors react when yearly reports fall behind expectations? And how do governments and central banks manage their balances in a economy floating on depth and inflation?
As always in trading, we don't know anything for sure but what we do know is that the market is hot - and historically speaking - it is not a bad time for a cool off period. So, ask yourself: "is it a good time to get in or to get out?" You will know the answer...
IMPORTANT: this is not financial advice, trade or invest based on your own risk and research.
Bitcoin, Ethereum and the next bear marketAs we all know, the market doesn’t like when Bitcoin and other Proof of Work crypto’s environmental impact come to mainstream attention.
When Elon tweeted about BTC environmental impact in May, we witnessed a -48% legdown in 5 days.
(snip)
According to this chart from my colleague Zen, we are at the end of the 4-year bear-bull cycle.
This chart was drawn by WiseAnalyze on Trading View in Dec ’19.
(snip)
I think that the best projects, Ethereum in front of all, will start outperforming BTC during the following years, probably creating new lows into the BTC dominance chart despite the bear market.
One little thing supports my view. It’s already almost one year since coinmarketcap added Ethereum dominance to their homepage.
If you like this content you might want to read the full story with no snips on Medium is here
🌊 🏄🏿 Bitcoin's Revised Route To $35,000Based on timing decay and various micro level invalidations, I have reassessed my Bitcoin wavemap and have found an alternative count/position. Note, my original target of $35,000 has not changed since Summer of 2021. I am only adjusting the proposed route based on a closer inspection of my previous markup.
See chart for additional Elliott Wave notes. Like and follow if you find value in this posting.
I'd tell my friends and my community to look for short opportunities (or wait for the proper long ball).
My community and I are currently awaiting rejection at $43K for indication of alignment.
Watching For a 10% CorrectionOver the last 20 years, a 10% correction has occurred in about 12 out of those 20 years. The point is: 10% corrections are pretty common. Also, of all of those drawdowns, the average pullback was actually 15%. So not only are 10% corrections common, but they can go to 15% without being out of the ordinary.
-20% drawdowns are less common. If you use the last 50 years of data, you can observe that they usually occur every 10 years or so.
-30% drawdowns far more rare, but still occur as seen in years like 1999/2000 or 2008/09. You want to be prepared for anything.
Keep in mind a lot of this data changes depending on how you study markets, specifically when you begin backtesting the data and what index. For example the S&P 500, Dow, or Nasdaq. In addition, the data changes fast depending on your starting point from 1920, 1950, or more recently like 2000.
With all that being said, for swing traders, there is one interesting anecdote to consider:
On average, the biggest up days occur within two weeks of the biggest down days.
Picking bottoms and buying dips is extremely challenging. But, over time, the worst down days and worst corrections have lead to the biggest bounces and up days. As a swing trader, this kind of volatility is what can make or break a year of trading.
Here are some final notes:
1. Swing traders can make some excellent trades shortly after the biggest drawdowns
2. Corrections have happened all throughout history with a 10% correction being fairly common and a 20% not being out of the ordinary.
3. Support, resistance, and other indicators are important, but so to is measuring the extent of a drawdown.
With all of that being said, I have no idea where markets are going next. I am simply watching, setting an alert, and fascinated by the price action we could see at -10% for the major indices (if they get there).
I suppose that means a little more patience.
Good luck and thanks for reading!
Massive Move Incoming for Altcoins!Hello traders,
The Bitcoin Dominance has been on a large downtrend for years and is looking like it will continue. It is currently in a descending pattern (Lower highs and equal lows.) The current dominance comfortably sits at 39.83%, while the target out of this downtrend is 29-30%. This may look bearish for Bitcoin but this may be a sign that Altcoins may surge! 9% loss in Bitcoin Dominance is $180B USD. More currently we have received a weekly close below the important support level, unfortunately, this reveals BTC may go lower possibly dragging down other coins. One last thing, the MACD of the Weekly BTC.D is foreshadowing a divergence to the bearish side.
Safe trading,
-Pulkanator
BTC DIRECTION. LONG OR SHORT?BTCUSDT is currently on its MAJOR trend support. if it will bounce, expect it to hit its resistance ranging from 45k to 47k.
on the other hand, if it hard closed below its major trend support, expect it to have a major dump. Remember, this is bitcoin's major trend support for this bull run.
S&P500 and its market sentiment.This is probably one of the most popular charts these days. The S&P 500.
It fascinates me how market sentiment turns bearish with a small pull back.
"The worse crash we have ever seen"
"The bubble has burst"
"The new variant injects fear in the markets"
"The bear market is here to stay"
What? Why? Why do we collectively catch the sentiment wave?
Every time the S&P has pulled back to the 55EMA it has been the best chance to open long positions. That is not going to change until it actually changes.
If you find yourself with the herd following market sentiment, maybe it's time to block those news out and ONLY observe the chart.
This chart is telling a totally different story.
Rio.