Since we are in the cloud and the cloud is typically a "no trade zone" I stand neutral on a trade here with the risk to high. This is a prefect example of the chop in the trade zone. Some key take away are we shot into resistance at getting tested and rejected (though we are in the cloud on the Daily candles), we have now broken two support levels in the cloud last one being 41.7k, divergence on the MACD and the RSI show less momentum, the OBV is down. This would all indicate we are still in a bear market. However we are still in the cloud and one bullish outcome is resetting all the momentum indicators and popping above the cloud. If we can pop out over the cloud and close above it we may have another shot at controlling the bullish narrative. If we can and close under the cloud which at this point it is looking like we will maintain bearishness and downward pressure and most likely see levels in the 12-19k for the accumulation and bottom before another rally up in 2024-2025. These levels would be accurate according to the historic 80-87% correction off the ATH. For these reasons I am not taking an active trade but I am leaning bearish as all historical indicators point to this. Oportunities will present themselves stay vigilant and patient and you will have the world.
"One can only wish the super cycles are dead unfortunately wishes do not determine price action"
-KewlKat
"One can only wish the super cycles are dead unfortunately wishes do not determine price action"
-KewlKat