$BTC short strategy
I have been trading crypto since 2019 and have seen bull market to bear market to bull market again.
One strategy that I have followed , tested and retested successfully with a win rate of 98% is as follows
Whenever $BTC is about to break it's previous local lows most traders will go short anticipating a further downside and hoping to make bumper profits. But what happens is that BTC just makes a small lower low only to recover and liquidating most short positions.
The best example was yesterday when BTC breached it's earlier low of $50625 and made a lower low of $50520 odd only to recover back above $51000 trapping most short positions.
SO HERE IS THE STRATEGY THAT CAN SAVE YOU FROM GETTING TRAPPED
1) The RSI on shorter timeframes that is on the 1 min TF , 5 min TF and 15 min TF will not make a lower low even though BTC price made lower low
2) ON the slightest of price recovery in BTC, the RSI on these same timeframes would already make a higher high.
when you see these signs ... DO NOT SHORT ...
RATHER GO LONG
The price will either significantly recover or atleast recover to reset the RSI
THIS is simply stoploss hunting or liquidity gathering process by larger players , whales and institutions and YOU are their liquidity.
Whenever I have gone long instead of short in this situation I have made massive profits and I hope you all also do the same.
DYOR
