Yes, the parabolic rise to last year’s highs did pump participants and so pumped were they that the fall was unexpected. Pundits, fans, trolls and crypto experts were side-stepped and their predictions were horribly wrong. The truth is, the butterflies are having a field day establishing with great accuracy that you never really know what the future holds. Add this to the evolution, regulatory involvement and the global nature of crypto, and the pressure to be right is insurmountable.
After 83 percent drops, Weiss Ratings—a US firm whose primary role is to provide traders and investors with valuable data and insights in the investment and finance Industry, is changing tune and Bitcoin is back in focus. After months of praising XRP, they are now recommending Bitcoin to their followers.
#BTC is getting to such low levels that it’s becoming one of the best buying opportunities of the year. As a store of value, #Bitcoin is here to stay. We truly think it’s the least speculative investment a person can make in #crypto right now.
In a tweet, the firm said BTC spot price has made it the “best buying opportunities of the year”. And as a store of value, the coin is here is to stay and is “least speculative investment a person can make”. They may or may not be right. But whether Bitcoin is finding support and bottoming up depend on how it reacts at key support and resistance levels.
Still, BTC is stable above the all important $3,000 mark. There are hints of higher highs and BTC is up one percent against the USD in the recent 24 hours. At spot prices, our last BTC/USD trade plan is valid as long as this consolidation persists.
Trend and Candlestick Formation: Ranging, Bear Breakout
From a top down approach, the path of least resistance is crystal. Sellers are in control and after crashing below $6,000 and $4,500 in a bear breakout pattern—clear in the weekly chart, conservative and long term type of traders need to see strong movements above these levels before committing. Nonetheless, at spot prices, BTC/USD is range bound between $3,200—Dec 15 floors and highs of Dec 8–$3,700—800. Unless otherwise there are gains above $3,400 BTC could flunk, dropping to $3,000 or lower more so if there are sharp losses below last week’s lows.
Aside from the ecstatic volumes of Dec 6-7, a standout in recent days has to be Dec 8 bar. While it did reject lower lows complete with strong volumes—17k versus 8k average, BTC/USD prices are still moving within its high low. As it is, losses below $3,200 will invalidate Dec 8 bulls while gains above $3,400 shall cement bullish proposals allowing first wave of buyers to load up aiming at $3,700. Ideally, if there is price expansion today with volumes exceeding Dec 16, 0300 HRs volumes—5k, then buyers may retest $3,700-800 by the end of the week.
If our trade conditions are met and BTC find support above $3,200, then our trade plan will be as follows:
Buy: $3,400, $3,700
Stop: $3,200, $3,400
Targets: $3,700, $4,500
All charts courtesy of Trading View.
This is not investment or Financial Advice. Do your own Research.