BTC and LSK Price #FunAnalysis – July, Week4
This is not investment advice. This is a FunAnalysis made by a LSK community member. Lisk Magazine is not responsible for the content of this article.
LISK Chart Analysis:
I’ve been looking at some short-term analysis for LSK after a few lofty predictions last week and it seems others have also taken this to heart.
The whales clearly did not appreciate my analogy and decided to fight back.. so this is exactly what they did!
Originally a single buy order for 60 BTC on Binance @10K satoshi got partially filled and then were split into two separate buy walls of 24 BTC each. It’s surprising to see that just few BTC are needed to push the price up by a couple thousand units.
LSK looks to be setting up a possible Bump-and-Run.. closely mimicking BTC’s move back in April.
The last seven days look awfully similar to Bitcoin’s December 1-2-3 pump, followed by a mild retracement and further consolidation.
It looks like positive news for the Bulls, especially after a possible Alt season confirmation.
Let’s have a final look at the macro scale for the shorter term:
BTC dominance took a bit of a knock, however there’s no clear-cut indication of retracement; I’m therefore forced to expect a pullback in the price of LSK. This does not mean we’re heading back down to the low-end support levels, but calls for a retest of some key levels between 12K and 13K satoshi.
BTC Chart analysis:
Looking at the daily, it’s quite obvious that the momentum has now shifted to the downside:
There’s still the small matter of unfilled CME gaps which “need” to be filled, as indicated by looking at the BTC price history. For those who don’t know how to access this chart, look for the BTC1 >> CME Future chart on Tradingview. Do yourself a favour and play around with the various timeframes.
BTC just suffered a rejection off the median line and continues its march downhill breaking an important uptrend for the second time.
It’s quite difficult to find support in the chart, unless you go to bigger time frames. The key is to find specific levels where BTC consolidated, also creating new support. These levels provide swing traders with perfect trading opportunities as well as indicate potential stop-and-reverse points for BTC.
BTC smashed through all forms of resistance in the last 5 months and with minimal effort, so it’s safe to assume that those will no longer provide meaningful support on the way down. No one can predict the exact bottom, attempting to do so would be foolish, however trying to make an informed decision with the metrics available could help you get into the market before it’s too late.
Finally, we take a look at the monthly chart:
I love when things line up perfectly.. yes, this assumes that a 69.65% correction is on the way but the technicals don’t lie. Don’t misunderstand me, this is not an indicator of what is going to happen, but rather it’s what could happen if the market decides to play along.
If you fail to plan, then your plan is to fail.. just some Youtube wisdom for everyone out there.
Bonus: Yes, More Fib Circles!
I’ve drawn what I call Trend-Fibs, only available once the trend reversal has been confirmed and similarly known as Elliot Waves, for those more familiar with that type of technical analysis. The above chart cautions that we might be in for a big move sooner than anticipated. As there’s only 1 week left in July.. the month of August might prove to be quite volatile.
LISK is on the rise after a tremendously arduous bear market. Can the current move be sustained or are we simply riding the hype waves of the Alpha SDK release? This could indicate the start of a bull market for LSK and Alts alike. Let’s not get overly excited for the rumours, just to be brought down to earth once the whales sell the news.
Bitcoin HODLers continue to wait for definite price action and might miss the boat entirely irrespective of where they think the market is heading. To those I will offer some sage advise..
- Don’t go all in or all out when speculating on long positions or setting up a short trade.
- Don’t listen to anyone predicting unrealistic price action either Moon or Bust.
- Don’t fight the trend.. unwavering loyalty will end up bankrupting you.