Hello traders,
It has been almost 5 days since the huge drop from $4200 to $3700, but Bitcoin is still lacking direction.
We saw bear tried to drive the price down on Feb 27th, and we saw bulls bought the dip and push the price to $3880. However, the bullish sentiment was soon neutralized when Bitcoin dipped to $3800 again.
I am actually surprised we did not have the bearish breakout as there are several signs of bearish sentiment:
1) Bear flag with decreasing volume
2) Confirmation of $3880 as resistance
3) Have not confirmed black trendline as support
4) Bearish MACD crossover. I just don't see if we will have the bearish divergence in the daily chart because the drop was too huge.
It is surprising that long position in Bitfinex is 57% and 52% in Bitmex as there are so many indications for another bearish breakout. We saw some altcoin rally today (Litecoin, EOS, and BNB), and I start to wonder if bears purposely are trying to create the false sense that this consolidation in past 5 days is not bear flag.
My bearish view will be invalidated if Bitcoin can go above $3900.
Happy trading!
It has been almost 5 days since the huge drop from $4200 to $3700, but Bitcoin is still lacking direction.
We saw bear tried to drive the price down on Feb 27th, and we saw bulls bought the dip and push the price to $3880. However, the bullish sentiment was soon neutralized when Bitcoin dipped to $3800 again.
I am actually surprised we did not have the bearish breakout as there are several signs of bearish sentiment:
1) Bear flag with decreasing volume
2) Confirmation of $3880 as resistance
3) Have not confirmed black trendline as support
4) Bearish MACD crossover. I just don't see if we will have the bearish divergence in the daily chart because the drop was too huge.
It is surprising that long position in Bitfinex is 57% and 52% in Bitmex as there are so many indications for another bearish breakout. We saw some altcoin rally today (Litecoin, EOS, and BNB), and I start to wonder if bears purposely are trying to create the false sense that this consolidation in past 5 days is not bear flag.
My bearish view will be invalidated if Bitcoin can go above $3900.
Happy trading!
