Hi guys! Apparently Elon's tweet affected all the weak hands, combined with some whale games we saw this dump. It looks like a shake out before continuation of uptrend. We saw a strong bounce about 10% from the global support area $46-50000. This shows us the strength of the market and the will to reverse the local down trend. I also didn't see any significant selling volumes and that's why I expect after some consolidation in the $50-52k area to continue the growth towards ATH prices. Locally we have a support at $50-51k and resistance at $54-56k.
Big outflows from exchanges, fear and greed index has fallen to Fear-31 mark and the funding along most exchanges has fallen negative. BTC dominance has currently fallen to 42% mark, not seen since 2018 and from here I expect BTC to regain some dominance. I think it's time to rebalance some gains from alts to Bitcoin. We have to pay attention to the weekly closure. If the bulls manage to repaint the candle green or at least push the price higher than previous week's low (marked green on weekly chart below) this will be a strong bullish sign. In case that we close the week below $50k, further downhill awaits with possible stop around $42-40k. However for now this is secondary scenario for me.
:DISCLAIMER:
This is my trading idea. I am neither a financial advisor nor I urge you to trade my idea.
Always DoYourOwnResearch prior investing your money anywhere!
Always respect risk management!
Always respect money management!
Always make profits!
By using my referral links you will have a life-time reduced trading fees on Margex, Binance, OKEX, Crypto.com and additional bonuses for new users!
