BTCUSDT
has broken out of its ascending triangle, but don't just jump straight into a long position! Overview
Bitcoin has been forming this triangle pattern since the 26th Jan, it has been leaning on the bullish side with only a few taps onto support but constant knocking on resistance. We have now closed above the triangle, however, there is another prominent level around $43,250 where price has rejected 8 times so far, so we need to wait and see if we can break that before we have the confirmation of more upside.
Liquidity
BlackRock customers are buying more than $150,000,000 in Bitcoin per day, there is $89,655,000,000 in available supply right now, that means BlackRock buys 0.17% of the available supply every day... That means if they carried on at this rate, ignoring any other factors, in 587 days BlackRock would have accumulated all remaining Bitcoin! How long can they continue at this rate?
$43.5k has been a large build-up of liquidity, however, there is also a larger build-up around the lows of $38.5k. Market makers will normally try to wipe as much liquidity as possible before letting the real move happen, so one scenario we see playing out is taking the highs around $44k and then punishing the late longs by heading to the lows to wipe over $2 billion worth of liquidations before then letting the real move happen.
Be patient and wait for the important closes above/below the levels mentioned above.
Good luck out there!
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