BTC outlook: 11800 or 10800?

By MadMaxx | Trader's paradise | 31 Aug 2020


Hello and welcome to another analysis.

In this analysis, we'll be looking at BTC and where it may be going next.

Many people have asked me in the past (I do read comments although I may not answer them) to explain the way I trade.

While I can't do that (obviously if I give out my edge it stops being an edge), I can give a bit of insight in before we continue into the analysis.

I trade mostly support and resistance, liquidity pools and liquidation levels. I also implement a VWAP from time to time, and add volume analysis into my general analysis with the aid of a 21MA. However, I base almost all of my analysis on liquidity pools as you'll learn from this analysis.

Quick insight aside, let's get into the analysis!

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BTC recently just broke above the resistance that was the basis for my short position in the previous analysis, and has slowly been grinding up for the past few days.

While this grind isn't the most reassuring, it does signify that shorting the overhead liquidity pool is a very easy call.

BTC currently doesn't look very active, which is why alts are popping all over the place. But I feel we have some downside left after this slow grind, and it should be pretty rapid.

I believe we see 10.8k soon, we I don't see us reaching 12k again without first drawing liquidity from 10.8k.

A lot of buyers are situated in that 10.8k region, and it's only a matter of time before we revisit there to draw liquidity.

That said, the moving averages and VWAP show that we have some upside upon us. So I will wait for a clear break to the upside liquid at 11833 where I would open a short position in anticipation of a correction down to support.

I won't leave a limit short however, as I'd like to see the reaction of buy side liquidity once we get there. However I believe there won't be as many people buying resistance as there would be selling.

That's my current analysis and setup for BTC! I hope you liked it. If you're interested in learning my method of trading, I have created a course on it teaching all my methods. It's not free, but it's less than $60! If that sounds like your cup of tea, check out my telegram here where you can reach me.

Thanks for reading.

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MadMaxx
MadMaxx

In the eternal quest for crypto fulfilment. I'm an obese frog on the internet, what I say most definitely isn't financial advice.


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