I Told You So 🚨 Yes, It Dumped—Now What?

If you caught my last post (Stop Trading: The Fed is Meeting, and the Stakes Are High 🚨), I warned to hold your trading instincts. And here we are—Bitcoin dumped, taking the altcoin ecosystem with it. First of all relax…

Now, let’s unpack what’s happening and what’s next:

Key Observations:

1. BTC Dominance (BTC.D)

• BTC.D remains below critical resistance with bearish divergence, making rejection more likely than a breakout.

• Resistance is intact, but BTC.D is flirting with the trendline, so we’re watching closely.

2. Market Structure

• Bitcoin’s retrace is healthy, not catastrophic. Liquidations have cleared over-leveraged longs, leaving BTC at key support levels.

• The 200 EMA and previous weekly low are holding for now.

3. Ethereum’s Position

• ETH/BTC is at support with bullish divergence, suggesting Ethereum could lead the next move if BTC.D rejects.

What Could Happen Next?

Someone asked me, “How do you feel about BTC.D breaking through?”

Here’s my take:

• A breakout is possible, but rejection is more likely based on current resistance and divergences.

If BTC.D holds below resistance, altcoins could recover faster. A breakout, however, may focus the market back on Bitcoin, leaving alts bleeding further.

What to Watch For:

• BTC’s support levels: Holding here prevents deeper downside.

• BTC.D resistance: A rejection could signal alt recovery.

• ETH/BTC divergence: Ethereum is showing resilience and may outperform.

The market reacts to chaos, but a steady hand sees the opportunity. This is how I approach every setup I share when you copy my lead copy trading account. Click here to copy and 🚀💰.

Cheers, and happy trading!