Madman says…

I took a quick look at the data across the web. Overall, things still aren’t very optimistic. Although the price rebounded from 80,300 to above 82,000, the move was mostly driven by short covering, with few new long positions being opened, so the chances of a V-shaped recovery are fairly low.

Bitcoin ETFs saw $450 million in outflows yesterday. Institutions were leading the sell-off in this pullback.

The U.S. government transferred 17,000 bitcoins to Coinbase. That doesn’t necessarily mean they were sold, but it could become a potential source of selling pressure.

The rally from July to September took place mainly during U.S. stock market trading hours, but those hours have now become a period of declines.

A whale that had been dormant for more than four years transferred 4,500 Bitcoin.

The $83K–$84K range has become a new cost-basis cluster. Little demand has emerged, so a return to that range looks unlikely in the near term.

The winning yield at today's 30-year U.S. Treasury auction was 5.618%, the highest since 2000. The bid-to-cover ratio was 2.54, indicating fairly strong demand. This suggests the market accepts such a high risk-free rate. Against a backdrop of high yields, non-yielding assets such as Bitcoin and gold are at a major disadvantage. Holding the line would be a victory.

In conclusion, a V-shaped recovery over the next three days of the weekend is very unlikely; expect mostly weak, choppy trading.

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The article "[Madman’s Trend Watch] A V-shaped recovery is very unlikely over the next three days of the weekend; expect mostly weak, choppy trading" was first published on BlockBeats.