BTC has found a comfort zone where it doesn't want to budge in either direction. Currently, we're hanging around between 6350-6500 area for about 2 weeks with no signs of any upcoming major moves. Well, ironically enough, that might actually be the sign that we will, and a massive move it will be:
If you we're looking to open a profitable trade in the crypto market, it definitely wasn't BTC. Complete sideways action with a lot of invalid candle patterns. Currently, we are having a lot of trouble breaking the 200MA seeing as we've been getting rejected off it the past 14 days. We are flirting with the 20 & 50MA but thats not showing much since all of our moving averages have flatlined.
Here's a closer look on the daily on all the reversal candles that have failed over the past week:
It's hammer time! :) As you can clearly see, the market is just toying with us with the consistent failed candlestick patterns each day for the past 6 days. Theres a lot of indecision lately for sure, but what we do know is: One side will break, big time. The direction of the break still has me a bit confused. We're inside a huge bearish pattern (descending triangle) with a huge measured move down, and we are also hitting record highs on over-leveraged shorts in the market. Now the majority may be right and we could drop significantly, but something smells fishy. I just feel a big short squeeze still needs to occur, more than the tether FUD pop which was complete wash trading in my opinion.
The way I look at it is this: What would it take to get everyone on board to be bullish and to close the shorts and switch long? 7900? 8500? Even higher if there were people who were more conservative. Well, wouldn't that be a smart play for someone trying to convince the majority there wrong, give you a huge spike to those levels, only to flip over the table and then drop the price? I would if I had the power to move the market, but thats me. I'm not saying this is likely by any means. Just stating, majority of people are short or trying to short and it just seems weird everyone getting paid off.
Keep in mind, I'm still mid term bearish. I just think BTC has one more trick up her sleeve before we start seeing any major patterns playing out.
Just a thought.
Good luck!