BTCUSD

BTCUSD

Bitcoin is squeezed tight inside a descending (well, strictly speaking, a bit CCW rotated) triangle. Vertex A of the triangle is the point (along the time axis) where the btc’s exponential growth gained enough momentum to evolve in a nearly vertical, step-function like, line. B is the point where the Christmas rally usually begins in the equity market, and looking back, we have to conclude this was the end of the crypto party for time being. Some curse bitcoin futures for the fall, others - Mt. Gox/whales/globalists… Please, feel free to append your entries to this list.

Vertex C is nothing more or nothing less than the support/resistance intersection. We see that the resulting “big” triangle will be resolved in 3-4 weeks. “Sell in May and go away” they say? It’s not gonna be quiet over here either way. The volatility will keep rising as we get closer to the C-time, especially because the triangle is bearish. Monitor trading volumes, watch futures prices – these are leading indicators that can give hints early on. And, of course, revise your stop-loss limits, just in case.

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