When most of the market expect a drop to new lows, Bitcoin often does the opposite..
This idea is not based on technicals and is not a trading advice. I don't recommend to trade bitcoin at all in this sideways move. Right now, there is some heavy support below actual price and bears have hard time to break the price lower. Yes, technicals and the main trend are saying that we will go lower for a proper bounce- 6400 level or 5800-6000 double bottom level. Also fundamentals are not that good, there's India FUD and incoming US tax day. Bulls had several attempts to break up in the last few hours, but hadn't succeeded.
Now Bitfinex btc shorts are at ATH level and still rising. But.. dont forget that these shorts are already priced in. Each short is executed sell order that should push the price lower. But last few hour price hasnt moved down, while shorts went up. Longs stay at the same level. That means there are many buyers at this level, that are buying all the shorts. I saw this before and what happend was, that after a bull push for a break up some shorts started to close and when there are many shorts opened at the same price level, that means some sort of short squeeze can happen. Basically the more shorts are opened at the same price level, to bigger chance for a short squeeze after a bull push.
Not saying that this will happen for sure, just saying be carefull and watch for rapid price action or a "Moonshot". My quess is it will happen in the next 48h or so with a rapid and unexpected big move up. Be ready with your long orders.
If you want to enter long trade right now, ladder in your buys from here down to 6400 level, as we might still go down a bit before the move.
This idea is not based on technicals and is not a trading advice. I don't recommend to trade bitcoin at all in this sideways move. Right now, there is some heavy support below actual price and bears have hard time to break the price lower. Yes, technicals and the main trend are saying that we will go lower for a proper bounce- 6400 level or 5800-6000 double bottom level. Also fundamentals are not that good, there's India FUD and incoming US tax day. Bulls had several attempts to break up in the last few hours, but hadn't succeeded.
Now Bitfinex btc shorts are at ATH level and still rising. But.. dont forget that these shorts are already priced in. Each short is executed sell order that should push the price lower. But last few hour price hasnt moved down, while shorts went up. Longs stay at the same level. That means there are many buyers at this level, that are buying all the shorts. I saw this before and what happend was, that after a bull push for a break up some shorts started to close and when there are many shorts opened at the same price level, that means some sort of short squeeze can happen. Basically the more shorts are opened at the same price level, to bigger chance for a short squeeze after a bull push.
Not saying that this will happen for sure, just saying be carefull and watch for rapid price action or a "Moonshot". My quess is it will happen in the next 48h or so with a rapid and unexpected big move up. Be ready with your long orders.
If you want to enter long trade right now, ladder in your buys from here down to 6400 level, as we might still go down a bit before the move.