Today I’m going to use the technical system of “A-shares” to analyze the daily-line and intraday time-share chart patterns of the crypto market from last Friday 9/18 to 9/21, and the actions we should take accordingly.
I think the crypto market and the US stock market are just too stimulating. Although you can make money, you don’t really learn anything. I hope everyone can go back to A-shares and rebuild, and learn properly.
On September 18, Bitcoin and Ethereum both broke out with a big bullish candle. The two previous box-range consolidation platforms—this line I drew—should be very clear. Of course, that day’s breakout was because the shorts were hit and got force-liquidated. The shorts below were forced to buy to close their positions, pushing the price up, which then caused the shorts above to panic and also get liquidated. That’s why it kept buying to close—otherwise the price wouldn’t have been lifted. But then we found that whether it’s Bitcoin or Ethereum, when they reached the area of the prior high, they didn’t really just break through and go straight up.
At this point, we can use a classic A-shares saying to explain this feature: “A rebound candle can contract in volume, but a breakout candle must expand volume; it must have large funds stepping in.” Clearly, last Friday did not have that. So it did not break the previous high.
However, it did break through the earlier trading range/platform, so it will form consolidation here—where consolidation means there’s pressure from above and support from below.
Then let’s zoom into the most recent intraday chart (9/20–9/21 06:00). Bitcoin is 80756, and Ethereum is 2617. When the price falls and touches this area, it doesn’t make a new low; instead, the bottom keeps being lifted. So at the combined daily-K level, there’s pressure above and support below. Clearly, in this intraday pattern there’s a short-term long arbitrage opportunity. The approximate price spread is about 1%, maybe a bit more.
Isn’t it very clear? Everyone, take this logic and test it against past market conditions where similar situations occurred—you’ll find that A-shares can teach people a lot. Although, uh...
Finally, I wish everyone gets rich. #比特币 #以太坊
I think the crypto market and the US stock market are just too stimulating. Although you can make money, you don’t really learn anything. I hope everyone can go back to A-shares and rebuild, and learn properly.
On September 18, Bitcoin and Ethereum both broke out with a big bullish candle. The two previous box-range consolidation platforms—this line I drew—should be very clear. Of course, that day’s breakout was because the shorts were hit and got force-liquidated. The shorts below were forced to buy to close their positions, pushing the price up, which then caused the shorts above to panic and also get liquidated. That’s why it kept buying to close—otherwise the price wouldn’t have been lifted. But then we found that whether it’s Bitcoin or Ethereum, when they reached the area of the prior high, they didn’t really just break through and go straight up.
At this point, we can use a classic A-shares saying to explain this feature: “A rebound candle can contract in volume, but a breakout candle must expand volume; it must have large funds stepping in.” Clearly, last Friday did not have that. So it did not break the previous high.
However, it did break through the earlier trading range/platform, so it will form consolidation here—where consolidation means there’s pressure from above and support from below.
Then let’s zoom into the most recent intraday chart (9/20–9/21 06:00). Bitcoin is 80756, and Ethereum is 2617. When the price falls and touches this area, it doesn’t make a new low; instead, the bottom keeps being lifted. So at the combined daily-K level, there’s pressure above and support below. Clearly, in this intraday pattern there’s a short-term long arbitrage opportunity. The approximate price spread is about 1%, maybe a bit more.
Isn’t it very clear? Everyone, take this logic and test it against past market conditions where similar situations occurred—you’ll find that A-shares can teach people a lot. Although, uh...
Finally, I wish everyone gets rich. #比特币 #以太坊
