I mean.....
One thing seems a bit strange... BTC has been looking strong for so long, but why did the short-term structure suddenly break like this?
First, there was a short-term uptrend break today. Then a retest at that trendline and a rejection from there. Then the key LTF support was broken.
I’m stopping here for a moment.
Because the price is now hovering around $84K. It wouldn’t be surprising if it goes straight to $83K from here. But what if the bearish momentum doesn’t follow-through right now? Then a small retest towards $85K is likely not unusual for the market.
And here’s the thing.
If $85K comes back, many traders might think, “Well, was the breakdown fake?” I’ll look at that spot too. Because sometimes the price goes back up a little and makes everyone bullish again… and then makes the real move.
My swing long is still going. So it seems more logical to think about hedging than aggressively trading again at this point.
Especially if BTC goes back to $85K but rejects there again, then I can consider a hedge short. This is not to change the original position, but to have some protection in case of a downside.
And if $83K breaks, then the eyes will be on the previous range highs — the place we broke through a few days ago. If that does not work as support, then the lows of the current rally will also come into discussion again.
The interesting thing is, the chart has not yet reached a point where everything is completely clear. This consolidation around $84K may give a clue to the next move.
$83K before, or $85K before retest?
Not sure yet.
I'm just seeing which way price proves itself.
