Looking at this chart in any other time except for right now -- April 2020 -- it's a CLEAR short. We're falling out of a rising wedge that's taken two weeks+ to form. Volume has been steadily declining. We're up against major moving averages on multiple higher time frames, and even lower time frames, and momentum oscillators on daily and 12-hour are starting to turn down. It's an OBVIOUS short.
Right?
Well...
These are strange times.
The halving is next month!
And the stock market is incredibly shaky and potentially on the verge of another crash!
And what about the hash rate!?
And stock-to-flow!?
There are a lot of conflicting and confusing narratives right now and retail traders are getting thrown around like a teddy bear in a drying machine.
But...
There's ONE thing we know right now that's pretty much certain:
Bitcoin is following in lock-step with the traditional stock market. The correlation is clear and strong.
So... for now... it's not even worth analyzing Bitcoin charts to try to figure out where Bitcoin is going. We need to anylyze S&P 500 charts, and until Bitcoin shows signs of decoupling from S&P, that's how I plan to play it.
Bitcoin has become the altcoin of the S&P 500 (for now).
Right?
Well...
These are strange times.
The halving is next month!
And the stock market is incredibly shaky and potentially on the verge of another crash!
And what about the hash rate!?
And stock-to-flow!?
There are a lot of conflicting and confusing narratives right now and retail traders are getting thrown around like a teddy bear in a drying machine.
But...
There's ONE thing we know right now that's pretty much certain:
Bitcoin is following in lock-step with the traditional stock market. The correlation is clear and strong.
So... for now... it's not even worth analyzing Bitcoin charts to try to figure out where Bitcoin is going. We need to anylyze S&P 500 charts, and until Bitcoin shows signs of decoupling from S&P, that's how I plan to play it.
Bitcoin has become the altcoin of the S&P 500 (for now).