Pretty bad rejection in the market on yesterday's move. What can we expect next?
I would look at it this way.
Prices were going down for the last few days, potentially pricing in bad inflation data and a rate hike.
When the data came as expected, the market took a dip, liquidated longs, and then bounced up, liquidating shorts that entered around the range lows.
The move was big because the data was already priced in, and there were enough short positions to fuel the move. Price then came back to the same zone where it was trading before CPI.
So basically, nothing happened.
What now?
The market will now price in a 90–100% chance of a rate hike next week. Technically, we are still in a range, both BTC and ETH. The fakeout is bad, but structurally, nothing has changed.
The best thing you could do right now is do nothing and let the market show you.
$LAB $ZEC
I would look at it this way.
Prices were going down for the last few days, potentially pricing in bad inflation data and a rate hike.
When the data came as expected, the market took a dip, liquidated longs, and then bounced up, liquidating shorts that entered around the range lows.
The move was big because the data was already priced in, and there were enough short positions to fuel the move. Price then came back to the same zone where it was trading before CPI.
So basically, nothing happened.
What now?
The market will now price in a 90–100% chance of a rate hike next week. Technically, we are still in a range, both BTC and ETH. The fakeout is bad, but structurally, nothing has changed.
The best thing you could do right now is do nothing and let the market show you.
$LAB $ZEC
