BITCOIN AND UNDERSTANDING THE PRICE MOVEMENT
Happy new year everyone
We’ve been following the Bitcoin for a while now and had a few interesting convos with some friends who were long.Asked them this simple question, If everyone is Buying then who is Selling?
For a buyer to win a seller has to lose and vice versa. So who is actually selling on the Bitcoin crypto? Simply told them that this is a trap waiting to catch new/fresh buyers that don’t want to miss out on the bullish run ie FOMO
Now, look at the bitcoin today, dropped heavy and reacted straight at the flipzone, why did it hesitate/bounce back from there?Simply because there were pending orders waiting there and the Market is heavily attracted like a magnet to where orders are hidden. This should be a no brainer if you have a good enough understanding of how price moves etc
This move can easily create fear and people might start selling off but you need to watch carefully the further reaction to this former untested level.
This is a V shaped (vertical) move that shows strength of the fresh Sellers. Always be careful with v-shaped moves as many of them tend to be continuation.
The Market has a way of playing with the emotions of traders and this is a typical example.
I’m not saying it might not continue higher but you need to understand that price needs a launching pad to continue in that same direction.
Do you want to understand better? Ask questions and we can look at it together