The four-hour Bitcoin chart shows a death cross looming, with the MACD green bars shrinking to the size of an ant's leg. Is this a countdown to a crash or a violent washout by the manipulators? A giant whale dumped 6,500 Bitcoins! Will there be blood on the streets tonight?
The U.S. Securities and Exchange Commission (SEC) is dragging its feet again, the approval of the Bitcoin ETF has been delayed, causing panic in the market, with the fear index soaring by 12%. Various altcoins are also suffering, with a market cap evaporating by $3 billion in an instant! In the early hours, a large investor suddenly dumped 11,000 Bitcoins on Coinbase, worth $480 million, marking the largest transfer of the year, clearly aiming to cash out and run! Even more sinister, a market maker secretly sold 6,500 Bitcoins on the OTC market and immediately placed a limit sell order for $43,800 on Binance; this is clearly a trap to harvest retail investors!
The Bitcoin trading volume moving average has flipped upside down, with MA5 being pressed down by MA10. The last time this pattern appeared, Bitcoin plummeted by 14%! The MACD is even more dismal, with DIF and DEA completely breaking apart, and the bars shrinking to the size of a toothpick. Futures open interest saw a 12% liquidation within 24 hours, as large funds frantically withdrew leverage to escape. The worst part is the divergence between volume and price, as the main force sells off while the trading volume of 22,900 Bitcoins breaks through key support, clearly indicating a slaughter of long positions and a massacre of shorts. Tonight is destined to be bloody!
Having been through the rain, I want to lend a hand to the newbies who have just entered the market, to help everyone avoid the biggest risks!!!