Bitcoin: Short
The Bears are firmly in control right now. Crash pattern continues to unfold as in 2014.
Mid term target: 7200
Longer term target:
- Best case for culls is 5000.
- 3000 also possible and likely.
- Worst case for the bulls is 1800.
In stock markets, a death/golden cross refers to the crossing of the 50-day and 200-day moving averages. Why 50 and 200 days? 50 days is 10 weeks of price action, and 200 - 40 weeks. This makes sense - in a market that is only open 5 days a week. Since cryptocurrency markets trade 24/7/365, 70-day and 280-day moving averages are the equivalents of 50/200 in the stock market.
The BTC 70 and 280 day moving averages death crossed today, after the price was pinched between the moving average yesterday leading to a breakdown - this itself is a very high probability short setup, THE setup you want when trading a death cross.
The price action looks very bearish - just look at those daily and 12h currently in the works. The buy signal on the 12h (yellow column of light) has not misfired since July of last year. A CCI value less than -100 on sich a high timeframe suggests the probability. Another thing that's frightening about this is that shorts have been closing through this last price decline - and without shorts there's no rocket fuel to break through 10k.
At the same time, Bitcoin Cash has been looking rather bullish...
BCHBTC appears to have begun it's next bullish impulse sequence. New all time highs in BTC terms are expected in the coming months.
While it falls with BTC, it has also been recovering more than BTC after each dump with the BCHBTC ratio steadily growing.