HI all, Crypto sludge here.
The crypto space is on fire, and not in a good way, but the oldest rule of trading is that you buy the panic and the blood of the streets, and you sell the news and euphoria.
So the big question here, has the market panicked enough, and has the capitulation arrived?
Let's take a look @ the charts, shall we?
The 1H chart, the sell off so strong, that the market rejected the TD9 Buy signal we got earlier. The Big purple line @ ~5800$ is the stop-loss of this TD9 and my most obvious support line at this time.
The 4H chart, very similar situation a rejected TD9 Buy, very similar TD support line @~5800$, but the StochRSI is flat lined in the oversold area, so that's a positive sign.
So what does this tell me?
I think we will have some sort of a recovery here, i doubt it will last for to long at this stage, as the higher time frames are still very bearish, but if you are feeling brave and lucky, i might dip back into the market now, with a very tight stop loss @~5800$, and try to ride the recovery, probably into the 6500$ area.
Trade ON!
Crypto Sludge.