Daily Report – Bitcoin and Market Update (May 12 2021)
Middaily chart continues to be completely clueless. Price action and any technical indications/patterns are pretty much irrelevant to a large extent mainly due to the fact that any sideways trend, and I mean any, is full of uncertainty, random market noise, indecisive traders, waiting and overall lack of any other direction than horizontal movement. What does not help for sure from the fundamental factors is the military conflict arising between Israel and Palestine. This brings general risk-off tendency across global markets which can be currently seen with sharp declines on stocks, currencies and other assets – see example of SPX below.
Currently BTCUSD is trading inside a range 52.4-59.6k, inside a larger range 47-59.6k, inside even larger range 43-65k. Hence, the ongoing sideways is of triple chaos, uncertainty and non-directional madness. It’s barely tradeable in my opinion while it remains around the mid-range of the entire sideways – the most neutral point. In case of bearish daily close today below 55k, BPRO would probably flash sell signal which is exactly what Im going to respect to protect my capital and stay one with my trading system. If the day closes below 55k, the next support is 50k – combination of BWAP and short-range volatility band support. After that the next supports are: 48k and 43.5k For bulls it is needed to reclaim the Breaker High of 61013 and until that happens BTCUSD In MTF perspective cant be called bullish – it’s neutral instead and may turn at any time into something more dangerous.
MTF picture is little to no different than the middaily one. Best way to understand current trend and market direction is just to look at the average. It’s been completely flat for the past 10 days, with tonnes of fake breakouts, fake breakdowns, uncertainty and traders’ impatience. The longer the sideways pattern lasts, the more people start to disbelieve that BTCUSD would ever break up. For that reason we could expect the overall BTC sentiment to slowly bleed and fear/greed index to go down. BPRO reveals that the entire volatility is trapped between the extreme bands: 48k and 62.2k and there’s highest chance that BTCUSD continues trading between those levels for the rest of the month, assessing by how it’s looking right now. The bands also suggest and display how flat the entire price action currently is on average. Breaker High is 58143 and until it’s reclaimed (weekly close above) by bulls, BTCUSD remains sideways and hard to trade. I personally avoid short-term trades most of the time and focus on following my BPRO settings. I also recommend so that you do NOT over trade this uncertainty period and rather wait for the market to start trending in either direction again. This will save you a lot of trouble and money. Make sure you remember that only for limited time during the congress you can use our special discounts and discounts codes. Check out announcement channels for more info and/or drop a dm to our admins to learn more. Book your discounted seats with the link below!