Crypto Market Cap - Why you can't have nice things! 🤬

2021년 9월 9일

Apart from El Salvador making Bitcoin a legal tender, another explanation for the sudden flash crash on Tuesday, 7 September (-25%) is the fact that we hit a major resistance level across all Crypto Market... the $2.5 trillion resistance.

This was the level we were rejected at before and should not surprise anyone that we got another sharp rejection here once price returned to this level (see yellow arrows).

I mean who would not secure some profit after doubling their money from our support?

One question remains, and the only one that matters:

1. Was this a quick liquidation before we break out of this level and pump hard or will we have a follow-up in price drop?

My bet is that we will not have a follow-up, rather, the price action seems to indicate we're getting ready for a breakout which will be just as violent, just that on the way up.

My bias would be invalidated if we fall under the $2 trillion support line or the Fib 38% level. If that happens, then expect a longer correction. For now, this is not the case.

Why you can't have nice things? Because before any major breakout, the market likes to liquidate overleveraged positions so that once the break happens, this can be smooth without much resistance.

The indicators are sending mixed signals, so this chart can go either way as we stand now. Each can have their own bias, some altcoins recovered almost all their losses or made new ATH, this is usually a sign of strength in the market, to be seen if BTC and ETH can do the same.

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