Daily Market updates #3
Market overview
Over the weekend we had 3 days of the stock market in the US being closed which allowed the crypto markets to rally back up bringing the rest of the crypto markets with it. However, now it's crunch time, and the stock market movements at the open will decide what is going to happen to the whole crypto market.
BTC 4H
Jumping straight into the charts let's take a look at BTC on the 4h. We're getting closer and closer to oversold on the RSI but the MACD seems to show us that we've got a bit more of a movement up however we have strong resistance at the 21k region as we can see it still hasn't been able to break this range. I expect this to break to the downside personally as soon as the markets open
BTC dominance
Jumping to the BTC dominance, we can see that since yesterday it hasn't changed much moving up and down a little bit however, I expect it to move back up to test the EMA34 and potentially break it as the market moves back down.
ALT markets
FTM
Looking at the FTM set-up I was talking about we can see that it did retrace back into the intersection before moving back up again however I didn't enter the trade personally as I didn't have the available capital to enter the trade by the time the opportunity came around however we got a nice 15% move up.
AVAX
As I'm focusing most of my trading on avax you can see that it's a bit messier than other charts
but as we can see it just created a lower high and hasn't been able to break the 17.65 area, we have a slight tick down of the RSI and slowing momentum which suggests to me that we're going to break below the tren and move down as we also haven't retested the trendline that was broken recently however if BTC begins to move down then obviously AVAX will be dragged down with it. We can also see that it's formed a shooting star which suggests a bigger downward movement ahead.
Stock market: PRE
Looking at the stock market during pre we can see that it gapped up really quickly and quite substantially, which has pulled up the RSI and MACD so I think that we're going to continue moving back down to fill the gap at open which will dump BTC, this will bring the rest of the market down and cause a big break of trend.
Conclusion
After the nice rally over the weekend, I expect a lot more downside ahead after this temporary relief rally but we will know for sure in the next few hours when the market opens.
