Bitcoin weekend update: market consolidation 9/13/2014
Market is in consolidation still between the two horizontal resistance on the 1hr bitcoin chart. We hit the high and then we retested the low. Last night, there was a huge sell-off of a single market order of 2000+ btc coins bring prices of all exchange down 2% or more. However, by this morning, we are at pre-crash levels. If this was a market order during the downtrend, we would have been a few percent lower than when the sell-off started. What does this suggest?
Market short term is neutral, intermediate term is down, long term is down. I went long a few days ago actually, my accessment is based on LTC/BTC correlation and how LTC leads BTC. I believe short term will follow LTC and we will be bouncing to test higher levels. As I type this, there is a 3k wall on bitfinex. We'll see if the bears win again. As a trader, I am wrong all the time, but as long as the trade has good risk/reward ratio and are likely to reach target, that is all it matters.