Be Wary of Bears, Be Very Wary of Bears

One might want to beware, be very wary of bears. Not just because bears are sly, but because many crypto pairs are setup to rise.

The last thing a bear with a big short position wants, or likewise a bull who is not done accumulating wants, is for a breakout to occur before they are ready.

The bigger one’s position, the more measures one might take to defend it.

There are a few key overhead resistances on the way back to all time highs, but a few of the most oppressive levels are right overhead. Consider, this was true for Doge and XRP, and you can see how them breaking out of their resistance ended up (it ended up with 200%+ runs).

We have been in a position like this before in 2018, but most of the times we were in a position like this the rest of the conditions were not as favorable (we were not approaching this position from as strong of a short term mostly market-wide uptrend, we had not already tested the bottom of ranges and 2017 support as much, we were not getting squeezed between a wedge/triangle thing as hard, and key indicators like moving averages hadn’t come down as far as they are now).

With a pattern occurring that could be lead to a breakout from a bottoming pattern, and with Doge, XRP, and BCH making solid runs recently, and with alts holding up against Bitcoin’s minor drops like we haven’t seen since April, things are starting to look a little bullish then they had been (AKA less bearish).

Thing is, bears are sly and they want to multiply their stacks. Thus, one might logically expect them to start pulling out the big guns as we approach key resistances.

It can all be very confusel, but don’t get bamboozled into giving up your the things you prize (be that fiat or crypto). This weekend is very likely to be volatile one way or the other. Beware.

Author: Thomas DeMichele

Thomas DeMichele has been working in the cryptocurrency information space since 2015 when was created. He has contributed to MakerDAO, Alpha Bot (the number one crypto bot on Discord),...

Leave a comment

We'll never share your email with anyone else.