So…. On May 11, we told subs BTC had achieved a major breakout with a potential wave target of $13,566. Now we share more evidence that target/price range could be important.
As we post this BTC is trading around $12,700 up nearly $1000 so we thought it would be useful to share some updated indicators and targets to try to put what’s happening in some perspective—especially as we enter normal trading hours in the US for Wednesday….
And let’s be clear — we’re TRYING to continue to share patterns that have nailed the big moves in the crypto market since late 2018 (BTC $3500 BUY for example) – however, there is no historical patterns that can compare to BTC and what we’re seeing now— except prior BTC patterns, and even that is not the greatest comparison given the growth in awareness of THE KING-BITCOIN. That said, until BTC breaks $14,000, and then $20,000, there are some meaningful and generally reliable patterns and indicators you’ll want to be aware of.
LET’S START WITH $13,863
Cryptopatterns is one of the rare trading education services/newsletters that studies the Monthly Chart ROUTINELY— and with good reason — CHECK OUT THE DATE— JUNE 26 — We’re only 3 trading days away from the end of the month — that can be important and as you’ll see on the BTC monthly chart below —protip: the two months where $13,863 created a top is a price worth noting.
There’s a lot more on the chart so review it carefully and keep these patterns and targets in mind in your trading strategies. We’ve also added the May 11 chart (our new favorite :-) and most recent daily chart from our last post to round out the current picture.
WHAT’S GOING ON WITH THE CRYPTO MARKET??
No Guarantees but here’s what patterns and news MIGHT SUGGEST:
Facebook announced their new cryptocurrency, and Bitcoin took off — that sounds like some institutional whales that were on the sidelines are now convinced Bitcoin matters and are taking positions,
That’s one possibility, or maybe it’s 2017 all over again where they’re getting traders to chase before they tank the market.
No way to know for sure, BUT the fact MOST altcoins are not moving as quickly as BTC does support REAL institutional buying of Bitcoin as they are not trying to spike altcoins for quick profits — at least not yet.
SPEAKING OF ALTCOINS — ETH ON THE MOVE
Patterns told us we could wait for the breakout above $290 on ETH and things should start moving, and that’s exactly what happened. Now ETH is moving up way faster than the rest of the top 10 altcoins. Is that because that’s the only altcoin the new institutional waves have heard of? Possibly — but it’s still not moving up as quickly as BTC.
ETH Weekly Chart shows the set up clearly — and we share our recent successful trade with targets so you have the picture for ETH.
FINAL THOUGHTS — BTC PARABOLIC TIMING AND ALTCOINS
BTC is showing another huge move overnight — When retail stock traders just taking notice of crypto aren’t active. This could create FOMO during trading hours. This plus the monthly chart supports the bullish case and using trailing stops rather than taking profits as this run COULD go deep into this week—BUT — closing above $14000 would be a new ALL TIME MONTHLY high and that could create resistance or an almost certain retest in early July if we blow past it.
TAKEAWAY — BULLS HAVE THE BALL FOR NOW BUT END OF MONTH IS LIKELY TO BRING VOLATILITY — HAVE A PLAN!
As for altcoins there have been multiple historical patterns where altcoins do NOT go up with BTC — they usually play catch sooner or later, but caution is advised with ALL altcoin trades until we see more bullish follow through because if institutions have really arrived, we could be in a completely different ball game.
TAKEAWAY — No trading edge for ALTCOINS with possible exception of ETH — highest prob trade strategy = simply honor trading plan for current positions but wait for any additions till clearer picture emerges.