The crypto crush: Multiple coin analysis
In this post we’ll expand a bit more on the thesis crypto has entered into a prolonged bear market and we’ll look at some individual coins and discuss different shorting opportunities in them. We’ll also cover bullish contingencies for if a bottom is made, just for the purpose of rounded prep. Bias is currently strongly bearish.
Pre-requisites for this post:
Public perception in stages of a bubble - by HoleyProfit (substack.com)
The Crypto Crush: Painful part of the BTC bear may be ahead. (substack.com)
The Broad Bubble Template Theory
Context can be found in: Public perception in stages of a bubble - by HoleyProfit (substack.com)
The rug pull period of the proposed template would be easy to see here.
After the rug pull period we’d expect to see the market do something to mimic a new bull market. People to start to make their big mistakes and then for the market to enter into a persistent downtrend. There will be periods of crash like action in this, but this is more of a “Crush” than a crash. It’s grinding and it takes a long time.
A full correction of a complete uptrend leg (When this is on a large timeframe we call it a bubble and crash, but it’s really just maturing of different stages of trend cycles) usually sub-divides into three parts:
The crash. Sharp down moves.
The crush. Grinding downtrend.
The kick out. News supported panic selling into the low.
As per this template, BTC would be at the end of the crash and the start of the crush.
When we look at some of the other coins we can see some of them have already entered into this crush condition. Action that saps bullish enthusiasm as it makes many false starts for bull moves but just ranges and heads lower overall.
My estimate on BTC and some of the other coins that have not went into this condition yet is we may be somewhere around here on the weekly chart.
I mentioned some different strategies we can use to have low maintenance and fairly reliable (Seeming … there are no free lunches in the market) long term income frim this move. Now we’re going to look at the more simple method of just finding spots to short some coins and picking target areas along the way.
The criteria we’re going to look for in our selections is for them to be currently up, have had a reasonably (Or very) impressive recent rise and for us to be able to determine a good stop area that’s close to current price (At least relative to our target).
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