Crypto could get UGLY
Updated
3 weeks ago we saw fakeout from major bear edge getting sent down to slide the edge until a minor uptrend was established
Now seeing this minor uptrend rejected on the parent downtrend resistance we can see that this downtrend's support and bear edge form an average level at the June low support
This level also matches the downtrend fib extension 1.618
What is most alarming is the latest rejection can also be interpreted as confirmation of 786 fib extension and intent for full extension...
taking the optimistic doom case we can expect ~20% down on total crypto cap
full doom call would be full extension ~40% down
Now seeing this minor uptrend rejected on the parent downtrend resistance we can see that this downtrend's support and bear edge form an average level at the June low support
This level also matches the downtrend fib extension 1.618
What is most alarming is the latest rejection can also be interpreted as confirmation of 786 fib extension and intent for full extension...
taking the optimistic doom case we can expect ~20% down on total crypto cap
full doom call would be full extension ~40% down
Trade active
It was inevitableWith FTX collapsing in real time and others trying to cook books while reducing balance and exposure before getting called
We see crypto finally breaking down again on stock correlation in what could be a bearish penant
Trade closed: target reached
Bulls refuse to capitulate furtherCZ tweet offers support and some relief
Possibly forming double bottom if holds
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