Bitcoin price had declined according to expectations yesterday, only to fling back to near its price highs today. The verdict is out whether the bulls can achieve another high or if the present failure will prompt a sell-off.
Time of analysis: 13h44 UTC
From the analysis pages of xbt.social, earlier today:
A cruel and unrelenting market pushes to a new high in B wave price action – sucking buyers into an upside that is doomed to retrace, probably to its humble beginnings near the support floor.
The analysis presented during the past few days has illustrated that this is not the wave to $1000, but the most optimistic bulls are piling in, regardless.
Today’s strong move to the upside did not print a new high and counts three waves – implying a downward reaction may be due.
My personal reservation and valid concern is that I call a direction in the market and price does exactly the opposite. In this B wave, my chances are 50/50 of getting direction correct, so I will refrain from predicting and stand by my longer-term outlook that this is an irrational advance and a bull-trap. It may go to $300 or $360 – we cannot know for sure – but, eventually, the price will seek out support near $250.
The first panacea for a mismanaged nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin. But both are the refuge of political and economic opportunists. – Ernest Hemingway
If you have a method for trading this, then follow your method, but the over-arching advice is not to trade a correction – the reversal could catch you while you’re sleeping or looking the other way. To the upside, $300 and $360 are potential targets, but trade them at your own risk.
Bitfinex orderbook depth and Buy/Sell Volume:
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