I think by now, it has and always has become apparent that cryptocurrencies like BTC are susceptible to whale market manipulation - meaning those with large % of BTC holdings are able to manipulate the price of BTCUSD to a certain degree to stop out many small time traders, enabling themselves to massively profit from the large surges in price change in their favour. In these cases, the ones who suffer the most are the highly leveraged traders in a market of strong momentum, when everyone is sure of the market direction, these traders put in LONGS or SHORTS with high leverage in their false confidence, and BAM, spikes of reversed volume by the whales in unison, the price swings in the opposite direction, as they hit the stop losses, the trend accelerates with newfound strengths from the STOPS getting cleared out.
Example in our BTC dump occured just a few hours ago, from the highs of 10400 to lows of 9135:
- Initial surge in BUY to 10400 came in sudden with JUST ONE spike in massive buy volume, immediately followed by pullbacks and profit taking (which is normal)
- BTC then appears to be bouncing off 10100 slightly, with much smaller volumes of consolidation, mainly buy volumes
- Trader sentiment is mostly BULLISH by now, with MACD strong in the BULL ZONE and BTC above 10100, its highest since Feb 2020 pre-crash
- BAM! Huge massive SELL volumes out of nowhere (although we can see a rejection wick in the previous BULLISH candle after touching 10200, it is still a bullish candle + the wick is relatively short = not enough to signal a reversal to sell)
- The massive SELLOFF dropped to 9100s in the HOUR ITSELF, stopping out thousands of BUY trades with stop losses estimated to be at :
--> 10000S for short time traders
--> 9800s for mid term traders
--> 9300s for longer term traders
TRADING IS REACTIVE, NOT PREDICTIVE
Therefore, we watch for the following opportunities:
- Now we see long support wicks validating 9400 (0.236 fIB LEVEL) as a VERY IMPORTANT SUPPORT ZONE, breaking this would bring us DOWNWARDS towards next support level @ 9300, as such I see more possibility of upward movement with these overlap of support zones.
- an HOURLY H1 close above 0.382 FIB LEVEL @ 9650 with a strong bullish candle stick gives us a LONG opportunity towards the 2 targets shown in the chart @ TP1 9750 and TP2 @ 10100
As always feel free to like and follow if you enjoyed my ideas, trade carefully with stop losses and happy trading!
Best Regards,
GOLD D ROGER
Example in our BTC dump occured just a few hours ago, from the highs of 10400 to lows of 9135:
- Initial surge in BUY to 10400 came in sudden with JUST ONE spike in massive buy volume, immediately followed by pullbacks and profit taking (which is normal)
- BTC then appears to be bouncing off 10100 slightly, with much smaller volumes of consolidation, mainly buy volumes
- Trader sentiment is mostly BULLISH by now, with MACD strong in the BULL ZONE and BTC above 10100, its highest since Feb 2020 pre-crash
- BAM! Huge massive SELL volumes out of nowhere (although we can see a rejection wick in the previous BULLISH candle after touching 10200, it is still a bullish candle + the wick is relatively short = not enough to signal a reversal to sell)
- The massive SELLOFF dropped to 9100s in the HOUR ITSELF, stopping out thousands of BUY trades with stop losses estimated to be at :
--> 10000S for short time traders
--> 9800s for mid term traders
--> 9300s for longer term traders
TRADING IS REACTIVE, NOT PREDICTIVE
Therefore, we watch for the following opportunities:
- Now we see long support wicks validating 9400 (0.236 fIB LEVEL) as a VERY IMPORTANT SUPPORT ZONE, breaking this would bring us DOWNWARDS towards next support level @ 9300, as such I see more possibility of upward movement with these overlap of support zones.
- an HOURLY H1 close above 0.382 FIB LEVEL @ 9650 with a strong bullish candle stick gives us a LONG opportunity towards the 2 targets shown in the chart @ TP1 9750 and TP2 @ 10100
As always feel free to like and follow if you enjoyed my ideas, trade carefully with stop losses and happy trading!
Best Regards,
GOLD D ROGER
Yorum:
To know more about the BART PATTERN that has been played out in the charts above - normally pointing to highly leveraged positions being closed out on both surges up and down
cryptocurrencyfacts....bart-crypto-pattern/
cryptocurrencyfacts....bart-crypto-pattern/
www.newsbtc.com...ction-at-10-4k/?utm_source...