Nearly four weeks now and Bitcoin is still churning between 28 000 and 31 000 that’s what we’re looking at today, looking at the whale games looking at the churn and how not to get caught up in the trap of losing a ton of money during this period of the market trying to decide whether we’re going up, we’re getting bullish or if we are going down to lower prices. Let’s look at that.
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This is the chart now updated for the last 24 hours, it is basically the bark patterns that we’re all are used to now. When we get a sideways crab-like market down, sideways up down again. It’s basically a churning market which is why I’m not looking at this as a really good time for shorter-term trades. Now if you were interested in shorter-term training we looked at this how to keep yourself safe. I think the moves need to be a little bigger in order to get some good returns. But it’s not like it can’t be done at this point because you’ve got the trading range between 28k and 31k. Now a lot of people are trying to find other ways to be making income from the market at this point. So, make sure you definitely have your stops in play. If you do want to be trading these markets what I prefer to look out for are clear trends and what happens at the end of these churning periods are generally we get a very good clear trend going back to each of the times when the market does go sideways. We usually get breakouts because that’s what these churny sideways. Periods are doing, they’re building up for a breakout in the market.
Now I want to let you know that we have just released our trading indicator tool. I talk a lot about Gan and the swing chart and so this is finally released now. If you want to use this as part of your trading plan definitely check it out all you got to do is go up to indicators up here and type in the Tia Gan swing indicator. You can see, it’s locked here. So, make sure you check that out and read the details. You can sign up for that particular indicator and I’ll use that on the channel a little more. So, you can see how it’s used and just how clean it is when the market gets trending. You can see we get some churny sideways periods and then the market can go on some nice clean trends. And the yellow line here is the swing chart indicator set to specific rules. It’s been coded that way based directly on Gann’s rules on how to construct swing charts. You can get some very nice swings that keep you safe in the market and it tells you where to put your stops so that you can take the profits. If the market reverses and goes down or if you are going short then you can take profits. If the market starts to head up so you can see that we had a very beautiful swing on the way down from the all-time high.
It was November 10th so the market just starts to head down and you can see the swing tops of these little yellow peaks the points none of them are crossed until all the way down here in December. So, this is a month and a half long trade before the market is actually crossed. You stopped out, so entry under here at 62 exits at 48. If you’re trading on your leverage with your plan stay safe, of course, I don’t ever recommend anyone doesn’t trade without stopping losses. Then you can look at this and use this as part of your signals and that’s what I’m going to look at today as well. So, once you’ve got that established and you’re looking at how this is trading with the sideways trading range. Then you can apply this hit this tool up and then watch it as we break out whether we break out to the upside or the downside so that you can trade long or short in these market conditions now. I’m focusing more on Bitcoin because like we looked at uh for weeks now the Bitcoin season. So, I’m looking at this as a Bitcoin season. The dominance is really increasing at this point; we just keep hitting new recent highs. We’re up at around 48 of Bitcoin dominance and that was sort of the levels that I was looking at for potential resistance because that was back in October. We got to around that 48 for Bitcoin to move forward from here and take out some new recent highs. I think we’re going to have to break through some of these highs that have been set throughout 2021. So, that percentage is now 48 closer to 49 dominances. So, I think once we get that move on then we’re going to start to see Bitcoin go for a little bit of a move on here taking away that gain from all of the altcoins. This is really going to be Bitcoin’s time to shine which leads me very well.
I always stress the importance of using a stop loss. People often think that they get absolutely wiped out and in terms of their accounts if they are trading out there and they look at things like the liquidations, like, we saw some high liquidations over the last 12 hours. It’s still important to look at the risks when it comes to trading and also investing but liquidations can essentially just mean the amount of money that you have put up within a single trade that you are willing to lose in order to gain a particular reward at the other end. So, maybe, you want to put up a hundred bucks per trade to look to make 500 because you’ve got a longer or a higher target to hit for your trade. That’s what the liquidations come in. It doesn’t mean that your entire account gets wiped out and I think that’s a very big misconception across retail crypto. They believe they get completely wiped out as well. It’s not true unless you don’t use a stop loss then your account can definitely get entirely wiped out.
That’s why it’s always important to use a stop loss, that’s all the liquidations here mean just that money that you have put up in order to trade on leverage and always just have some really strong money management rules. When it comes to that trading now the whale games continue because the liquidity is quite low which means that they’re able to move the market a lot easier and the reason for that is volumes are still quite low. So, when the volume’s low, there’s less being traded out there. And it’s just easier to push the market around. So, we can see that if we zoom out the bigger volume came in on that may low, but now we’ve just started to taper off in the volumes and the weekends. You can see the little periods where the market drops down for a couple of days that is basically the weekends. That is showing up here and so the weekends are another riskier time to be trading as well. So, keep that in mind, if you are looking to trade. So, eventually, this move has to happen one way or another Bitcoin is obviously winding up. We are showing signs of higher lows, but, of course, lower highs at the moment, and then also with the dominance. You can still see the market creeping up here, we’re not seeing much of the money flow into the old coins generally broadly speaking. But, it is coming back into Bitcoin. Even though Bitcoin is trending sideways at this point in time. But, of course, getting those higher lows, so I’m watching still for those breakouts for that clear close above.
It’s around that 31.5 k now, but more ideally above these previous tops here at 32.2 k, and that to give us that next move on to test the 34 and a half thousand dollars. So, in the meantime, I still see the whales continuing to play the games until we can get the breakout. I would definitely be looking to stay safe if I was trading be holding some stops underneath these levels of around 28 000. You can see the lows that are in here. That’s a pretty simple strategy to remain safe in the market and not get liquidated in your entire account just keep it nice and safe. Then to the upside obviously the breakout if you want to keep it close. I’ll be looking at the top of the swing at about 31 800. But ideally I do like the look above 32 400 because that just clears the previous top on the 31st of May and then allows the market to be able to move a little more freely towards that next resistance level which is about thirty-four thousand five hundred a quick update today as the market is still trading sideways. But showing those little signs those earlier signs that it does want to try and test those upper prices. It’s getting ready, it’s been like this for the last few weeks and you’ve seen those moves out and then the market gets slapped back down. But the lows are still remaining just that little bit higher.
This article is a transcription of a video made by Jasson Pizzino
Original video: https://youtu.be/6D_mew2X53E