BTC.D, BTC/USD, Technical Outlook, Edition #76 (11/08/21)

Bulls decisively capture support after a re-test as Bitcoin approaches the Danger Zone. We've done the heavy lifting with the latest BTC price action & chart forecasts for tomorrow's trading session

Bitcoin flips the D1 200 MA (BLUE) into support after a re-test this morning, subsequent close above USD 45K

The BTC/USD trading pair continues re-testing each previous high after breaking above to confirm it has defected to support. 

Qluster analysts have mapped the staircase-like market structure below using the D1 BTC/USD chart.

Bitcoin, BTC/USD - Daily (D1) 

Using the fib retracement tool - starting from swing high at USD 59.5K and dragging down to the swing low at USD 28.9K - observe that Bitcoin is now nearing the “Danger Zone”. 

The danger zone refers to the .618 retracement level (USD 48K).

Usually, this fib level represents a messy pivot zone that determines the outcome of a correction and a ley price-point to begin hedging positions. 

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At USD 50K, things start to get messy, and many trapped buyers who came in high praying for an Elon Musk tweet will likely jump ship at break-even.

After such a negative experience in the market - who can blame them?

But Fortune smiles on the persistent...

Extending this focus to Bitcoin Dominance, the team highlights a continued breakdown. 

It will likely give big-cap altcoins the needed time to continue their relief rallies and square up with major resistance. 

Bitcoin.Dominance, BTC.D - Daily (D1)

Q's Conclusion

Search for more attractive risk-to-reward set-ups while Bitcoin plays silly buggers.

Start the search amongst big-cap altcoins that are still dormant compared to the first-movers like ETH/USD.

See you again for the next update.

- q

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