60K the Big BTC milestone!
60K for bitcoin was a big psychological support and since that is broken therefore we see so many support levels broken.
Why I love these indicators
For a long time we have been big fans of technical indicators, support and resistance levels. More or less they give you a very good idea about what you should do with your crypto and money in general.
When I see these indicators I find lots of interesting stuff starting from the Oscillators on the left
source
There are
- Sell indicators strength: 2
- Neutral indicators strength: 9
- Buy indicators strength : 0
Making it an overall Sell signal
On the Extreme right is the Moving averages graphical indicator
Where we see
- Sell indicators strength: 14
- Neutral indicators strength: 1
- Buy Indicators strength: 0
The middle part is the Summary which suggests
- Sell indicators strength: 16
- Neutral indicators strength: 10
- Buy indicators strength : 0
This again creates a case for a Strong Sell.
No doubt the 200 EMA for BTC which I see stands at 58225 has been breached and for many this could be the last straw and there are murmurs that since all the SMA and EMA that matter have been breached therefore it is quite likely that BTC may grind down and settle lower.
Has Btc made the season's top?
There is a lot of discussion about this as well however a lot of this is speculation. The crypto pundits who have been predicting more btc blood could be coming.
Indicators are good because they help you keep emotions out of trading. However, merely using indicators is not good when it comes to trading. The fundamentals and the news flow are important too.
In Fact if you look at the current BTC bloodbath then it is important to know all the news based events that are putting pressure on the BTC price.
The Mt Gox news is Big!
The news is that Mt Gox has moved 47229 BTC worth $9 billion. This is supposedly a move by the defunct exchange to pay its creditors.
Now $ 9 billion may be big money, but is it big enough to cause such a crash? Experts believe that a lot of these BTC may end up being sold in the market and this anticipation is causing the correction.
Such is the fear that an amount greater than $170 billion got wiped out as a result of the mere anticipation that these bitcoins would hit the market.
This correction brought the price of BTC to as low as $55K needless to say the fear got the better of the market and as the correction started a lot of stop losses got triggered and those having leveraged trades got butchered badly.
The market was ripe for correction and when the news came that the Mt. Gox bankruptcy estate has announced that it has started repaying its creditors in bitcoin as well as bitcoin cash the btc prices took a hit and the alts began to correct as well.
The fundamentals are still in place
Fundamentally nothing has changed for Bitcoin or ETH. It is just that the sentiment has changed in anticipation of a huge chunk of BTC and Bitcoin cash hitting the market.
Shorting BTC may be tricky as no one knows how low Bitcoin could go.
For those who missed getting Bitcoin at lower lever this could be a good opportunity.
If you had a conviction to get into BTC at 70K believing it can go to 100K then what makes you miss the boat at 56K?
No financial advice. Please do your own research and due diligence though this looks to be a good time to buy in small chunks and accumulate for the long run.
Not to forget that the alts are bleeding even more and they offer a lot more value if you know what alt you are buying.
Are you buying BTC below 60K
Please share your views below.
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