Dec. 30, 2020- Bitech.pro cryptocurrency market outlook.
Hello, today we have a look at the cryptocurrency markets.
Let’s start with a daily chart. Bitcoin doesn’t show any weakness yet. Macro trends are strong still.
After consolidation between 24 november and 15 december price went up from $19400 to $28400 just in 11 days as you can see. Price rose for ~50% in no-time. Such impressive impulse after so short consolidation might indicate potential reversal in near future. However, taking any shorts is extremely risky without any confirmation of trend reversal.
Let’s switch to the lower times frames. On the 4h chart we can find bear divergence on the RSI and potential cross on the Stoch RSI. In the past, during this run the given set up didn’t work out very well. So we aren’t considering running into the shorts on the 4h picture.
On the 1h time frame not much bearish signs as well. Price just re-tested $27500 and now trying to push higher. RSI bear divergence presented as well. But it’s a weak sign of reversal since it’s a 1h time frame.
Now we take a look at the 1D Ethereum chart. Price Keep pushing higher with the bear divergence towards $810 resistance. Overall, the chart is extremely bullish and there is no reason to take any shorts before $810. We will wait for $810 and if the market presents a short opportunity we will take it.
Conclusion: Since last week highs were swept out on $BTC there is a small chance of reversal. We will be considering taking shorts as a hedge if price will close below last week highs. Moreover, we will be buying put options as an intraday trading at the bitech.pro binary options module. However, to follow this scenario we must wait till daily close. If this is not the case, we keep riding our spot $BTC and $ETH holdings.