Good morning again ladies and gentlemen and welcome back to my daily look into the biggest financial system on the planet, Bitcoin. Did I mention its decentralized? Pretty cool when you think about it. The bulls have been on a tear this week and even well into the weekend things still seem pretty strong considering. But as the year comes to a close will the bears take their chance to strike back? Lets take a look at what is going on right now.
I see on the 4hr time frame there was recently a bearish doji. You see when a doji like that forms at the top of an uptrend it can signal a reversal. Should you exit your position based on a single doji? Maybe not. But I think setting a stop loss is a great idea as an alternative. Its all about risk management and traders that ignore risk management are the ones that normally end up rekt. The bearish doji may take us down a bit but there is no guarantee that this will occur. I will go out on a limb to claim more often than not dojis like this tend to result in a red candle.
Seeing as how this is the 4hr time frame the drop shouldnt be too significant. Perhaps a drop to former support levels which I tried my very best to identify for you guys and gals on the chart. This pump makes TA difficult and that is okay by me. As long as Im raking in profit Im good! There has been some crazy pump action over the week and into the weekend. But as Monday approaches I wonder how big that gap will be?
From taking a quick look at the cme chart the gaps bottom should be around 23685. Meaning we have a real chance of a drop come Monday. There is not a guarantee of this. Gaps dont always need to fill the first day but in my experience that does happen more often than not. We may not fill any gaps til after the 1st. Something tells me this pump isnt going to last forever... Call it intuition or call it clairvoyance or experience. I dont care. But we should all expect a drop in the coming week or 2. Worst case scenario we dump. Best case scenario Im wrong. Im not asking anyone to exit positions. I am asking for you to exercise risk management and trade with caution at these levels folks.
All in all 2020 has been a fantastic year for Bitcoin. The reason Im hesitant to say Bitcoin is definitely about to dump is they keep speaking of stimulus after stimulus in the US. That makes me think they will just ask the fed to print trillions. This will devalue the USD which could result in more pump. Not to mention the fact institutions are now buying it by the fistful. 28422 is this years ATH and even though I would love to see the bulls take us to the next level I am satisfied with the pump so far. But keep that stop loss set. The bears are sneaky. I hope you all have a great day. Make good choice my friends. And remember WTFDIK???
TLDR: Bearish doji on the 4hr. No real effect as of yet. Big gap below us. Could mean a bearish Monday. Time will tell!
I see on the 4hr time frame there was recently a bearish doji. You see when a doji like that forms at the top of an uptrend it can signal a reversal. Should you exit your position based on a single doji? Maybe not. But I think setting a stop loss is a great idea as an alternative. Its all about risk management and traders that ignore risk management are the ones that normally end up rekt. The bearish doji may take us down a bit but there is no guarantee that this will occur. I will go out on a limb to claim more often than not dojis like this tend to result in a red candle.
Seeing as how this is the 4hr time frame the drop shouldnt be too significant. Perhaps a drop to former support levels which I tried my very best to identify for you guys and gals on the chart. This pump makes TA difficult and that is okay by me. As long as Im raking in profit Im good! There has been some crazy pump action over the week and into the weekend. But as Monday approaches I wonder how big that gap will be?
From taking a quick look at the cme chart the gaps bottom should be around 23685. Meaning we have a real chance of a drop come Monday. There is not a guarantee of this. Gaps dont always need to fill the first day but in my experience that does happen more often than not. We may not fill any gaps til after the 1st. Something tells me this pump isnt going to last forever... Call it intuition or call it clairvoyance or experience. I dont care. But we should all expect a drop in the coming week or 2. Worst case scenario we dump. Best case scenario Im wrong. Im not asking anyone to exit positions. I am asking for you to exercise risk management and trade with caution at these levels folks.
All in all 2020 has been a fantastic year for Bitcoin. The reason Im hesitant to say Bitcoin is definitely about to dump is they keep speaking of stimulus after stimulus in the US. That makes me think they will just ask the fed to print trillions. This will devalue the USD which could result in more pump. Not to mention the fact institutions are now buying it by the fistful. 28422 is this years ATH and even though I would love to see the bulls take us to the next level I am satisfied with the pump so far. But keep that stop loss set. The bears are sneaky. I hope you all have a great day. Make good choice my friends. And remember WTFDIK???
TLDR: Bearish doji on the 4hr. No real effect as of yet. Big gap below us. Could mean a bearish Monday. Time will tell!