Btc has seen many consecutive down days before today and is currently at rsi support just above oversold on the daily. Bears are exiting shorts as you can see here on BTCUSDSHORTS. Last three big drops we had, short positions spiked to relative highs, bears were getting greedy but entered shorts at the lows and now its happening again only problem this time is that the bulls are weak. theres an enormous bearish triangle, we've been putting in lower highs for months and this bearish impulse isn't over yet. 5.8k was not the low and i am midterm still bearish. Nevertheless this bullish reaction happening here makes sense to me, its the perfect time as bearish sentiment is weakening and momentum is turning. We have consistently seen support at the 6ks and are seeing that play out now, I believe that the buying will be weak and major reistance lies ahead at 6600 and 7k, anything higher than 7.3k is doubtful for me. I would play this like this, accumulate longs now, small position not too much leverage and understand the risk and then put a stop around 6100s, target 7k and there you have it. I personally will not trade this even though i believe theres a high probability it happens but I will be shorting at 7k. We will break that low not a doubt in my mind. This trade however has a good risk reward and isn't that counter trend as we only made one impulse out of the 6k low we made and can expect at least one more push up. Might not happen but its a good trade and if you keep taking those you will win.
Comment:
huge wick rejection on another powerful impulse attempt that made it to about 6500. Very bearish as it seems that it could be the 2nd impulse over already and we just double topped. negative momentum on lower time frames. Honestly I dont think that the 6600 resistance will be broken
Comment:
bulls need to hold above 100 ema on lower time frames and we could seea break of 6600
