Bitcoin drops? Let's buy! (correlation with DXY)
Once again we are coming back with another crypto and the DXY correlation in which we have seen this kind of action has been correlating each other since a long time ago.
Bitcoin specifically is now having another dip to the downside which this kind of action occurs at he same time the US Dollar index bounce from the $110 support level and it's now coming back toward the $113 region. The area of current level on DXY is categorized as a crucial level where this area is becoming closer toward the $115.5 - $116.5 which is another major resistance for this instrument. There might be another push toward this region or even extended above it but we don't think that the break out will occur on near future. The higher the extension, the more severe the drop will be on DXY.
On the contrary, crypto market especially bitcoin is now showing us a strong pullback toward the area below $18500 region which once again there are a lot of long positions are getting liquidated.
What we are seeing on current structure is that there will be potentially another long positions getting liquidated on another possible drive lower as we have mentioned on the latest bitcoin's update which we anticipated the liquidation zone at $17622 where a lot of SL's for current long position is located which also is in alignment with the previous unclosed gap/wick.
What's more interesting from current provided condition is that we think the bull market is very close and ahead our eyes like now. A lot of people will think that the crypto market is over and they perform selling and selling action again as result of panic selling.
But for sure, we are in different deal comparing to this average joes in the market which we are clearly looking for possible entry for buying during current condition. Without a doubt, we are likely to catch this dip on Bitcoin and some of the most attractive altcoins.
Our first buy limit on spot market is at the area of $18125 (at current level where the previous low is taken out) and the first liquidation zone at $17622 as the next area for averaging our position.
We are also preparing the possible drop down toward the second liquidation zone at $16096 in case there is another drive lower on the market at abnormal condition.
With all the given buy limit on the spot market, we can expect some hug gain from current single trade putting our target right at the $24000 region.
Bitcoin specifically is now having another dip to the downside which this kind of action occurs at he same time the US Dollar index bounce from the $110 support level and it's now coming back toward the $113 region. The area of current level on DXY is categorized as a crucial level where this area is becoming closer toward the $115.5 - $116.5 which is another major resistance for this instrument. There might be another push toward this region or even extended above it but we don't think that the break out will occur on near future. The higher the extension, the more severe the drop will be on DXY.
On the contrary, crypto market especially bitcoin is now showing us a strong pullback toward the area below $18500 region which once again there are a lot of long positions are getting liquidated.
What we are seeing on current structure is that there will be potentially another long positions getting liquidated on another possible drive lower as we have mentioned on the latest bitcoin's update which we anticipated the liquidation zone at $17622 where a lot of SL's for current long position is located which also is in alignment with the previous unclosed gap/wick.
What's more interesting from current provided condition is that we think the bull market is very close and ahead our eyes like now. A lot of people will think that the crypto market is over and they perform selling and selling action again as result of panic selling.
But for sure, we are in different deal comparing to this average joes in the market which we are clearly looking for possible entry for buying during current condition. Without a doubt, we are likely to catch this dip on Bitcoin and some of the most attractive altcoins.
Our first buy limit on spot market is at the area of $18125 (at current level where the previous low is taken out) and the first liquidation zone at $17622 as the next area for averaging our position.
We are also preparing the possible drop down toward the second liquidation zone at $16096 in case there is another drive lower on the market at abnormal condition.
With all the given buy limit on the spot market, we can expect some hug gain from current single trade putting our target right at the $24000 region.
