Hey, Traders!
#BTCUSD
Price action for #bitcoin has been consolidating for two months, from mid-March through mid-May.
The percentage of coins that haven’t moved in over a year began increasing during the bull run, as some long-term holders sold into the strength, which always happens. Now that the sharp upward price move is over, those coins aren’t really coming to market anymore, which is good because it means the supply side is getting tighter again.
My view about BTC technically is #bullish. I believe #BTC has completed its Flat (ABC) correction. Possibilities in the short term for me are bullish, but I’m not necessarily going for all-time highs from here. For chart pattern traders, the price just broke out the “neckline” of the H&S formed pattern. I will keep an eye on the resistance levels within the range and I will be closely following the #priceaction guidelines for potential longer-term range scenarios.
The Bitcoin Exchange Reserves data denotes the total amount of coins or cryptocurrencies, such as Bitcoin, stored in wallets or addresses controlled by a specific exchange. It signifies the overall holdings available for different purposes, including facilitating trades, withdrawals, and managing user balances, currently at an unprecedented low. That means low short-term supply. And a low short-term supply of Bitcoin on exchanges suggests increased competition among buyers, potentially leading to price appreciation. It could support my buy theory by indicating bullish market sentiment, further analysis of other factors is necessary and I will share more details in the coming days in XM Live.
In the long run I am generally bullish with an 18-month view. I consider dollar-cost averaging into the asset to make the most sense for people that want some exposure, and I don’t particularly recommend holding Bitcoin unless someone plans to hold it for 3-4+ years.
My base case is that as long as global #liquidity continues to chop along, bitcoin will probably chop along as well due to lackluster #demand, and then when global liquidity eventually heads up, so will Bitcoin.
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#BTCUSD
Price action for #bitcoin has been consolidating for two months, from mid-March through mid-May.
The percentage of coins that haven’t moved in over a year began increasing during the bull run, as some long-term holders sold into the strength, which always happens. Now that the sharp upward price move is over, those coins aren’t really coming to market anymore, which is good because it means the supply side is getting tighter again.
My view about BTC technically is #bullish. I believe #BTC has completed its Flat (ABC) correction. Possibilities in the short term for me are bullish, but I’m not necessarily going for all-time highs from here. For chart pattern traders, the price just broke out the “neckline” of the H&S formed pattern. I will keep an eye on the resistance levels within the range and I will be closely following the #priceaction guidelines for potential longer-term range scenarios.
The Bitcoin Exchange Reserves data denotes the total amount of coins or cryptocurrencies, such as Bitcoin, stored in wallets or addresses controlled by a specific exchange. It signifies the overall holdings available for different purposes, including facilitating trades, withdrawals, and managing user balances, currently at an unprecedented low. That means low short-term supply. And a low short-term supply of Bitcoin on exchanges suggests increased competition among buyers, potentially leading to price appreciation. It could support my buy theory by indicating bullish market sentiment, further analysis of other factors is necessary and I will share more details in the coming days in XM Live.
In the long run I am generally bullish with an 18-month view. I consider dollar-cost averaging into the asset to make the most sense for people that want some exposure, and I don’t particularly recommend holding Bitcoin unless someone plans to hold it for 3-4+ years.
My base case is that as long as global #liquidity continues to chop along, bitcoin will probably chop along as well due to lackluster #demand, and then when global liquidity eventually heads up, so will Bitcoin.
👉Join my Private VIP channel and take your trading to the next level :)⚡