It's really starting to feel like we put our bottom in... As you can see on my chart, $BTC looks like it has found some kind of steady support
on the Alligator Trend Indicator. Now, this does not by any means signify that we are out of the woods yet. Bitcoin still has a few major hurdles to overcome.
One thing that new traders should understand is support & resistance. (I know, you're already thinking... "But D, I do understand support & resistance.") I mean understanding how 50k, 40k, 30k & even 20k were all price areas where $BTC became less volatile & hung around these prices for a while. The longer Bitcoin or any tradable asset hovers around the same price area, being range-bound for so long. This builds up visual range volume profile aka VRPR; which is the amount of volume being traded at different prices. unlike traditional volume where each candle presents how much volume there was between specific candles open & close. The VPVR measures horizontally. The more you zoom in or out, the more the VPVR will change; and that's because it is measuring the amount of volume compared to the number of candles shown on your chart at any given time. When you zoom out on a high timeframe like the daily chart (displaying price action spanning months/years in the past)You will see the VRVP change drastically and show high volume correlating with prices where the most trading occurred. The VRVP is a very powerful indicator that shows volume as support & resistance. hope you're sticking with me here... Since Bitcoin didn't come crashing down from 69 k to 17.5k within just a few short days or weeks. This created very strong support & resistance levels. Now we all know that when we break through a support level, it then becomes resistance & vice versa. Bitcoin held pretty strong at different price areas and this makes it that much harder to now break these resistance levels and confirm them into support. There is a lot of bullish signals, but we can't let that cloud our judgment. Even though it sucks, we have to realize the possible bearish outcomes in order to give us a more balanced & realistic idea rather than constantly assuming everything is always going to go up. We could test a resistance level and get rejected. If this does happen, I will be making sure that I'm live with my students who survived the bear market... because I believe if we do get a push up to the 23k area & get rejected...
That we will 1st off, have the great shorting opportunity & can make some good money; a 2nd... I believe that would be our final push down, $BTC will capitulate and we will start the beginning phase of the next bull run! I already explained how and why I believe we're a lot closer to a reversal than some analysts may think & that's because I think the bull run ended & the bear run began back on April 14th, 2021, not November 10th.
on the Alligator Trend Indicator. Now, this does not by any means signify that we are out of the woods yet. Bitcoin still has a few major hurdles to overcome.
One thing that new traders should understand is support & resistance. (I know, you're already thinking... "But D, I do understand support & resistance.") I mean understanding how 50k, 40k, 30k & even 20k were all price areas where $BTC became less volatile & hung around these prices for a while. The longer Bitcoin or any tradable asset hovers around the same price area, being range-bound for so long. This builds up visual range volume profile aka VRPR; which is the amount of volume being traded at different prices. unlike traditional volume where each candle presents how much volume there was between specific candles open & close. The VPVR measures horizontally. The more you zoom in or out, the more the VPVR will change; and that's because it is measuring the amount of volume compared to the number of candles shown on your chart at any given time. When you zoom out on a high timeframe like the daily chart (displaying price action spanning months/years in the past)You will see the VRVP change drastically and show high volume correlating with prices where the most trading occurred. The VRVP is a very powerful indicator that shows volume as support & resistance. hope you're sticking with me here... Since Bitcoin didn't come crashing down from 69 k to 17.5k within just a few short days or weeks. This created very strong support & resistance levels. Now we all know that when we break through a support level, it then becomes resistance & vice versa. Bitcoin held pretty strong at different price areas and this makes it that much harder to now break these resistance levels and confirm them into support. There is a lot of bullish signals, but we can't let that cloud our judgment. Even though it sucks, we have to realize the possible bearish outcomes in order to give us a more balanced & realistic idea rather than constantly assuming everything is always going to go up. We could test a resistance level and get rejected. If this does happen, I will be making sure that I'm live with my students who survived the bear market... because I believe if we do get a push up to the 23k area & get rejected...
That we will 1st off, have the great shorting opportunity & can make some good money; a 2nd... I believe that would be our final push down, $BTC will capitulate and we will start the beginning phase of the next bull run! I already explained how and why I believe we're a lot closer to a reversal than some analysts may think & that's because I think the bull run ended & the bear run began back on April 14th, 2021, not November 10th.