Bitcoin & Crypto: Don’t BUY Anything Until You See This!
Crypto Banter
Market Overview
The market is seeing a potential bounce in cryptocurrency prices, with Bitcoin (BTC) and altcoins such as Ethereum (ETH) and others showing signs of recovery. However, it's uncertain whether this is a dead cat bounce or a strong follow-through.
Bitcoin (BTC)
- Current Price: Around $99,000
- Resistance Levels: $101,000, $105,000
- Support Levels: $97,874 (yellow line), $100,000 (white line)
- Analysis: BTC needs to break through $101,000 to show strength, reclaiming important moving averages like the 9 and 18 EMA. Holding above $105,000 could confirm a higher high and indicate trend continuation.
Altcoins
- Altcoin Season Index: At its lowest since July 2023, suggesting a potential buying opportunity.
- Altcoins like Pepe and Hype: Showing significant bounces, with Pepe being considered a safer bet in the meme coin sector.
- Other Altcoins (e.g., CASPER, SUEY, BRETT): Need to reclaim key levels to show strength, such as breaking above previous week's highs or monthly mid-range levels.
Ethereum (ETH)
- Weaker than BTC: Holding around lows, not close to breakdown points, indicating relative weakness.
- Support and Resistance: Ultimate invalidation below weekly lows, with a need to reclaim and hold above key levels for strength.
Trading Strategy
- Wait for Confirmations: Especially on altcoins, waiting for reclaims of key levels or breaks above previous highs.
- Catalyst Needed: For the market to sustain a move upwards, especially with daily exchange volume not yet showing significant increase.
- Risk Management: Keeping stops tight, such as on HYPE, and being prepared for potential drops if key levels are not held.
Other Coins
- Mantra: Showing inefficiencies and potential for a short, but waiting for a tag of the fair value gap.
- Jasmine: Needs to sweep down into the major low, with stochastic RSIs fully reset.
- Trump Coin: Expected to bleed out, potentially down to 80% from its launch price, with a range high at 22 if it reclaims certain levels.
Conclusion
The market is at a critical juncture, with potential for both upwards momentum and significant drops. The importance of waiting for confirmations, managing risk, and understanding market psychology is highlighted.