Market

Billy’s Bitcoin Adventure for BITSTAMP:BTCUSD by entertheroach

I got sent and video earlier tonight which was featuring a trader on TradingView basically saying that BTC is gonna end up like the last season of Game of Thrones….. Very, very badly.

Now i won’t name names so i’ll just call him Billy. Billy sounded very bitter, like he had recently been very badly burnt by a trade and was trying his utmost to convince the masses to join him on a short adventure . Billy pointed to the 1W, 3W and Monthly charts “ohhhhhhhh” Billy shouted as he waved his finger franticly, Billy even painted a wonky half moon on his chart to prove his point that this was indeed the end of days. Billy looked at the scary MACD & RSI on the Monthly and protested, “thou will fall to the pits of hell and see you in 2025”, or something like that. Billy then ranted something about alts and said he couldn’t find it on his keyboard. Oh Billy, what are doing ? 🤦

So, is our friend Billy correct? is this the end? From my opinion….. nah. There are many factors Billy left out from his post. You could say, Billy was a bit short with his info………. haha sorry 🤣

I’ll keep this chart very simple, i won’t even put a Fibondonky thingy mank whatsit on the chart.

Now, let’s look at this monthly chart, what does it tells us?

Overall volume has slowed.

BTC is still safely above its 10EMA (White Line), 20EMA (Purple Line), 50EMA (Yellow Line) and 100EMA (Blue Line) on this monthly chart. We just about got enough data for that 100EMA 😜👍.

The ADX DI is indicating a very strong trend with the ADX (Yellow Line) at 50.82 which is still above its 9 Period EMA (White Line) which is at 42.91. The +DI (Green Line) has dropped and is at 43.17 but still way above its -DI (red Line) which is at 3.25. Note that the -DI (Red Line) is not pointing upwards, that means THERE IS NO SIGNIFICANT INCREASE IN NEGATIVE MOMENTUM on the monthly chart at the moment, all we are seeing is a drop in positive momentum with the +DI (Green Line). Note however that the +DI (Green Line) is not dropping straight down but is starting to curve sideways……. Yes, very interesting 🤔.

Now look at the 2 most recent monthly candles, what does it tell us?

Looks like potential sideways ranging. Remember that sideways ranging is done within a range not at a constant level.

Billy pointed out that indicators like the MACD and RSI looked really scary and are massively oversold and overextended, so a drop to the fiery pits of hades’ brothel is inevitable, this is slightly misleading, the price does not have to crash for indicators like the RSI to drop out of the overbought zone, an indicator can be brought into equilibrium by the price simply sideways ranging for a prolonged period of time.

Now, will BTC drop, yep eventually, and then it’ll go back up 👍. FYI, even if BTC dropped back to about $38K on this monthly chart, it would still be considered a LONGTERM UPTREND. Please try and remember that there are many different timeframes, and a daily chart considered longterm for some, may be considered mid-term for Monthly investors. I’m not saying that BTC will drop to $38K anytime soon, but if for shits and giggles, if it did, and if you’re TRULY longterm, then a dip to $38K would be an amazing buying opportunity right now 😜.

Our friend Billy had also forgotten that this is not 2017/2018 retail investor speculation, this is actual 2021 mainstream, with institutional investors, GayScale, Goldman Sachs, Banks, Bitcoin ETFs, Cardano & Stellar ETNs, actual use cases other than currency alternatives, use cases like VeChain’s Supply and Logistics use case, potential tokanisation of homes and all various assets, and right at the top of this as the gold standard, is BTC .

The whole point of me typing this is 1, to hopefully make you & Billy chuckle, and 2, to encourage you NOT to get influenced by other people and encourage you to do your own research, it’s your money and you should be the one deciding what to do with it. Spend a bit of time researching and studying a bit Fundamentals, a bit of Technical Analysis , it may seem daunting at first, but the more you do it, the less you rely on other people.

Obviously i don’t mean any ill feeling towards Billy, and his opinion is his opinion, and my opinion is my opinion. So i hope this has been humorous & somewhat educational 🙏. And if Billy reads this, i hope he finds my intro humorous 🤣👍.

I hope this has been helpful with your trading & hodl-ing. Good luck and lets all pray for Billy 🙏👍🔥🚀🌍🌔🪐🛸👽

Most Related Links :
Business News Governmental News Finance News

Source link

Back to top button