I’ll say it in advance. A turnaround on the Bitcoin could wait here, but it does not have to. See for yourself. The 4-hour logarithmic Chart of Bitcoin (Bitstamp on TradingView) shows Bitcoin’s path over the last five positive days into the 10,800 USD area. I highlighted this area in blue. Why is this area so important? If you look to the left, you can see the last high of Bitcoin. There are two options. First. He shoots through the blue area up through towards the top of the yellow downward channel. Or secondly. The Bitcoin turns within the blue range and runs back south. He would not have marked a new higher high. Because that’s what matters. Higher high – yes or no? The decision is up and running out.
Personally, I consider the second variant to be the more likely one. I assume that the Bitcoin is running down. Then again up and down again. Quasi in a zig-zag. Before he finally goes to 7,400 USD (Bitstamp) and possibly even below. He has already done such a small zigzag movement. As he bounced in the year 2018 several times to the 6,000 USD upwards, before he broke them then but down. Only he would make this movement in smaller dimensions this time. The pattern would remain the same. This is a nice pattern to lure new retail investors to the market.
My shorts in my eToro account CryptosWithB66 are currently balanced in total. If my assumption with the blue area confirms itself as a turnaround, I would invest on the way down again 5% of my capital in shorts. However, as the Bitcoin continues to move up, I will continue to hold my shorts until the upper edge of the downstream channel is reached, to see how the Bitcoin behaves there.
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