Bitcoin broke 100K support without any type of retrace attempt (YET). This move which is attributed to global events should not be entirely surprising.
Most importantly do not OVERREACT, especially with all the nonsense hype this will generate. Here is a more effective way to process the current situation.
Avoid bias and pay attention to the bigger picture. In terms of wave count, Bitcoin can technically retest the 85K area and STILL be considered within a broader Wave 4.
This implies the broader structure is still BULLISH (Wave 1 overlap). A swing trade or investing buying opportunity can develop in the 95K area or lower (see illustration).
The short term momentum is bearish as per break of 100K. This should guide shorter time frame strategies like day trades. A new bearish trend line is in play (see arrow). .
At this point without any meaningful reversal pattern in play (4H or above) look for bearish continuation patterns like consolidations (triangles) inside bars, etc.
The 95K support would be a price objective to consider if you are open to aggressive short strategies.
Keep in mind, shorting into such a low is HIGHLY risky and best suited for those who have adequate experience.
This situation proves once again, "expert" opinions mean nothing. A few short weeks ago, Bitcoin was poised to break out and everyone was going to be rich again (remember the Bitcoin conference?).
So much for that. The market does NOT care what you, me or Michael Saylor thinks. It reflects the perception of the future, whether or not that future plays out.
This is precisely why CHARTS can offer value in terms of measuring potential and RISK. You don't even need to be that technical, just take a look at the weekly time frame.
The previous week's bearish pin bar low was broken signaling weakness, NOT Bitcoin 100 million.
Trade at your own Risk 👍
Best Regards, Trade Cryptocurrency
Stay Tuned for Further Updates.
