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My Q4 trade plan for November and December
The dip to buy is right now. #Bitcoin dropped to $76.3K this week, right onto the 50 week SMA. I think this is the cheapest price Bitcoin will trade at for the rest of this bull run.
Here's why.
Bitcoin confirmed the bull run two months ago, when it closed a week back above the bull market support band. The band is the zone between two lines on the weekly chart:
The 50 week SMA, the bottom, about $76K
The 50 week EMA, the top, about $78.6K
In a bull run, Bitcoin holds above this band on the weekly chart. The 50 week SMA is the floor, and price is sitting on it right now.
So I'm buying today. Not after months of sideways trading, and not lower. The bottom of this correction should be in this month, most likely right after the midterm elections on Nov 3.
When I'm wrong: a weekly close below the 50 week SMA, about $76K right now.
A daily wick down below $76K, a quick drop that snaps back, could still happen next week, right after the midterms. That's a typical liquidity hunt: price dips to where a lot of traders have money in borrowed bets and automatic sell orders, just under $76K, and forces them out. All it takes is a weekly close back above the 50 week SMA, and the bull run is still intact. If that quick drop happens, I buy it too. That's the window: today, and maybe next week.
The dip to buy is right now. #Bitcoin dropped to $76.3K this week, right onto the 50 week SMA. I think this is the cheapest price Bitcoin will trade at for the rest of this bull run.
Here's why.
Bitcoin confirmed the bull run two months ago, when it closed a week back above the bull market support band. The band is the zone between two lines on the weekly chart:
The 50 week SMA, the bottom, about $76K
The 50 week EMA, the top, about $78.6K
In a bull run, Bitcoin holds above this band on the weekly chart. The 50 week SMA is the floor, and price is sitting on it right now.
So I'm buying today. Not after months of sideways trading, and not lower. The bottom of this correction should be in this month, most likely right after the midterm elections on Nov 3.
When I'm wrong: a weekly close below the 50 week SMA, about $76K right now.
A daily wick down below $76K, a quick drop that snaps back, could still happen next week, right after the midterms. That's a typical liquidity hunt: price dips to where a lot of traders have money in borrowed bets and automatic sell orders, just under $76K, and forces them out. All it takes is a weekly close back above the 50 week SMA, and the bull run is still intact. If that quick drop happens, I buy it too. That's the window: today, and maybe next week.
