A MUST READ: ANOTHER SET OF REASONS WHY BTC MUST RETRACE ON ITS LOWER LEVELS PRIOR TO CREATING A MASSIVE PUMP
Although we want to keep watching, develop patience, and respond appropriately, we have found possible long positions for scalp, intraday, swing, and position trades. Right now is not the time to enter them. Given how volatile the cryptocurrency market is, it is quite common for there to be abrupt, impulsive candlesticks in the market. These impetuous candlesticks do, however, have meaning of their own. These impulsive candlesticks appear whenever the market's general long-term trend is evident. The main participants are doing shakeouts to generate and remove some liquidity from the market, and many traders are still testing prices.
What will happen to Bitcoin next?
Assuming that Bitcoin is still moving in a range market structure, many would argue that it is currently in its distribution phase, which could be true given that it has already above the ATH. We will keep an eye on it till this stage is finished because the current market points to these potential truths.
At it from the standpoint of the entire cryptocurrency industry rather than simply the current structure of the BTC market.
The majority of alts have already seen a considerable amount of markup, and some are currently trading below their main support, perhaps building up for their own markup stages. Given that there will be extreme buy orders from certain zones, we can determine that these alts are in high demand. Both buyers and sellers would need to put their patience to the test in order to handle this realistically. We can observe these supplies running out till the time comes to join the accumulation phase once the selloffs are finally taken by purchasers. You can look at tokens like GTC, EOS, CVX, and others that are trading below their main support as well as those that have previously seen a sharp drop in value. The pressure to sell will probably lessen as more purchasers take the initiative.
Do you know of any further potential causes for the next price movement of Bitcoin?
Yes, there are many more reasons that could influence the next Bitcoin price action, but this one will pique your interest. Altcoins with different leverages—ranging from 50x to 75x and beyond—will be visible to you. What can we infer from this? Using these leverages, one could argue that they are getting ready for significant selloffs, which is very typical in the cryptocurrency industry. However, helping purchasers order altcoins at the lowest feasible price with the finest options would be the best use of this leverage.
Imagine you get the chance to do high leverages at the lowest possible price (considered to be the best area to buy) for altcoins. Coupled with risk management that you can apply to ensure your funds will survive the accumulation phase of the market towards the markup phase.
Always remember. Trading in the crypto market is a matter of perspectives. Those who trade with psychology and not emotions are the masters of the trading game.
These posts are for educational purposes. To guide the people who might still be struggling within the crypto market, those who are new to the environment and volatility and everyone else who needs it.
Stay wise, trade cautiously.