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Bitcoin Update: Time to go bearish for short-mid term? Read on! πŸ˜€

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@beehivetrader
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A few days ago, Bitcoin dropped almost 6% in minutes.

I published an article about Bitcoin critical Zones after the 6% drop.

So today I'm sharing another observation. Lets have a deeper look at whats happening.

Overall bias on $BTC: Bearish/Neutral

BTC/USD 1D

Chart:

Link to chart: https://www.tradingview.com/x/XQ98brxB/

Overall Bias: Neutral/Bearish (Breakdown) Critical zones have been marked on chart!

Points to note:

  1. Breakdown from the uptrend (?)

  2. Notice the small hammer like structure forming on 1D chart. So we may shoot up, retest that and again come back. Warning: Price action can be indeed very choppy. Also I'd recommend looking and keeping track of the global stck markets :)

My take: If you are a long term HODLer, you may risk a small part by selling, to buy back later on.

Let's have a look at another 1D chart:

BTC/USDT 1D

Chart 2:

Link: https://www.tradingview.com/x/7yVsjIYe/

Overall Bias: Bearish Critical zones have been marked on chart!

Points to note:

  1. Textbook style RSI Divergence noticed. -> Price made a higher high, RSI made a lower High, signifying weakness.

  2. Also Notice the weekly resistance (Marked on previous chart as well)

Lets look at the moving averages and Supertrends, on 1D.

BTC/USDT 1D

Chart 3:

Link: https://www.tradingview.com/x/5f1dvGnj/

Overall Bias: Not Bearish yet! Critical zones have been marked on chart!

Points to note:

  1. Supertrend and Moving averages are still supporting the uptrend
  2. I'd love to see the reaction in the area marked. (Breakdown will confirm a downtrend)
  3. Breakout above the weekly will signal a potential uptrend.

Checking these factors, I personally believe a big move will come soon (maybe in the next 2 weeks.

The trading range is narrowing, critical points are coming closer, which will signal a breakout soon.

If you want to take advantage of the upcoming volatility, you can take advantage of the volatility by buying move contracts (My recommendation: Risk only very small amounts) listed on FTX, especially before a breakout. ( I wouldnt recommend trading them if you dont understand how they work) I will cover an article, later on how to trade on Move contracts later on.

I'm adding my custom referral link here in case you are interested (And of course if you know how move contracts work! (Disclaimer: I'm not related with FTX) https://ftx.com/#a=beehivetrader

A little Teaser: If price moves up/down and makes a violent move, the move contracts increase in value. If price remains flat, and does not move, the move contract decrease in value.

BTC/USDT 4H

Chart:

Link: https://www.tradingview.com/x/GVkiWMqA/

Overall Bias: Neutral/Berish
Critical zones have been marked on chart!

Points to note:

  1. Bearish until it breaks above 9600 ish levels
  2. Supertrend and MAs started giving bearish signals.
  3. The small rally happening (at the time of writing may be a bearish retest of the Moving averages.)

My take: Stay safe! :D

gif taken from the internet.

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Posted Using LeoFinance