Daily Report – Bitcoin and Market Update (December 30 2020)
Middaily chart in past few days brough us extremely choppy and unpleasant market to trade. Big volatility + sideways can apparently become extremely dangerous now and the risk will probably increase even more in similar cases in future. Before the rally started in September, we would see 500$ daily range sessions, which compared with current ones usually gives 1500-2000$ daily ranges easily. Volatility unquestionably increased and so did risk. Intraday fakeout printed new high but was violently rejected and met with massive supply influx. 5 min movement brough 1.5k downside range. Currently birbicator PRO shows we’re in the upper band following the path of the strongest deviation against the average. Clear knockout for bears would come with close after the high of the fakeout candle. If that’s the case – very likely – the next resistance to look at is directly 30k. Momentum on the bottom section shows clean consolidation for Stochastic diverging against TK histogram which indicates sideways/upside continuation. Because of the supply shown earlier in the day, we could expect many traders to short the highs, which because of the strength shown so far in the prior supply zone will probably bring massive liquidations and short squeeze that could take us straight to 29.5-30k region. There I could expect blow-off top mechanism to activate and see price spike climax. If no reaction visible at 30k (which would be surprising), then the next target is 35k & 40k. Local MTF support is 25k. For more info regarding seasonality and thoughts over heading into 2021, please review my cheat sheet below:
MTF chart points 29.4, 30.7k, 33k resistances as the ones following upside break above the faked high. Local support is given at 27283 level which would be the key to hold. Otherwise, BTCUSD would rather see a quick break to fill the CME gaps and levels down at 24.1k and 21.6k. Cloud support is visible and you can easily tell how strong the trend is by the cloud vertical steepness. Safe to say, that if 28.6k highs are taken and reclaimed with a close of 4h/12h/1d above, the next milestone resistance is 30k and it will likely be overthrown by a bit. I would definitely take profit within 30-33k area as that’s where I could expect flash crash to occur. Also, kind reminder that -40% discount coupons expire in next hours so it’s the last time to switch from free trial to premium official membership on massive discount, as well as use the coupons to renew and extend your current memberships. Stay safe and enjoy the rally. Remember that 30k and slightly above is going to cause most likely BIG volatility, massive liquidations, longs and shorts trapped. Alts will 90% of time suffer in such conditions as the capital would search for BTCUSD volatility. Much loves for 2020 and let’s get 2021 blow up on the markets to make us all rich! God bless yall.
You can also still catch the last 40% off discounts within our III anniversary celebration while seats are actually running out already. Use the discount coupon to prolong your membership, upgrade or move from trial to exclusive membership. Don’t miss out this time again…
Claim discount coupon here!