This is a quick one:
Since this bounce is quite weak and longs are going up brutally fast, I think that we won't make it through the resistance the first try.
I will open new shorts at the resistance area IF:
1. 4h stoch overbought for a long time
2. Longs have risen
Then the final shakeout at 4800-5200 area, then a pretty impressive rally to 8-9k levels.
This would be reminescent of what happened in May in 2014.
Since this bounce is quite weak and longs are going up brutally fast, I think that we won't make it through the resistance the first try.
I will open new shorts at the resistance area IF:
1. 4h stoch overbought for a long time
2. Longs have risen
Then the final shakeout at 4800-5200 area, then a pretty impressive rally to 8-9k levels.
This would be reminescent of what happened in May in 2014.
Kommentar:
I thin we're still on track with this scenario. The longs are rising fast again, and I expect that this huge dump and subsequent bounce lies still ahead of us. However, there is a chance that it'll break through the resistance line and rally directly towards the 8k area, since the 3d stoch RSI has been oversold for 1 month already, indicating that BTC is ripe for a pump. How exactly that will play out, will be immediately seen if BTC breaks through the red resistance line.
Kommentar:
Ok, so it broke through the resistance. BTC apparently doesn't like shakeout dumps with subsequent rallies any more :/ Volatility seems to be lower than back in 2014.
Kommentar:
See new idea, I think we're headed for 8k-ish territory.