BTC - Remain cautions

8 Feb 2019

Just a quick update to the triangle we've been tracking since the last breakdown. I was working a chart of the rapidly rising margin longs this morning and that a long squeeze was being setup as longs looked over leverage while price was breaking down. Before I hit publish we got a big pop on BTC which rallied to the 50 day moving average. At the moment it's best to remain cautious. BTC is forming a bearish pattern while running into major resistance at the 50 day and the trend line of the triangle. If it continues to hold support it will simply have rallied back into the larger descending triangle we've been tracking. It is quite possible we grind along sideways for several more month and form a U-shaped bottom. While this was the first pop we've seen in quite a while I just want to remind people to stay cautious and keep your stops tight. I'm seeing to many calls that this is the end of the bear market and double bottoms predicting a rapid move back to 12K.

While accumulation may have started their is a lot of major overhead resistance to clear so take it one step at a time and don't leverage yourself into getting rekt. This is a marathon not a sprint.