- A series of long wick down, not bearish
- The volume takes a drop while the price continues to move downwards
- Today could be the day we see the defining move with Bakkt around the corner
Bitcoin is struggling to stay above $10,000 ahead of the Bakkt launch.
Yesterday, Bitcoin went down to nearly $9,900 level and then today, dropped even lower to $9,842 before going back to $10,000. But we are back on a downward move.
Currently, BTC is trading at $9,959 with 24 hours loss of 0.44%, as per Coincodex.
“A ridiculous 4 hour chart, where every single candle has a down wick,”
shared trader Scott Melker. These series of long wick down he explains,
“implies dips being bought. It’s not bearish.”
Bitcoin’s bounce from just under $9,850, analyst The Cryptomist describes as the “perfect bounce of RSI support as suggested previously!”
And today she says “could be the day we see the defining move with weekly close” with Bakkt’s physically delivered daily and monthly Bitcoin futures launch just around the corner.
She, unlike Melker, however, is short on BTC price.
As we recently reported, veteran trader Peter Brandt is also bearish on price as he warned,
“Descending triangles are most often bearish.”
— Squeeze (@cryptoSqueeze) September 22, 2019
There is much speculation about Bakkt launch in the market, with the CT divided on the event turning out to be bearish or bullish.
“I have a feeling Bakkt launch will be anti-climatic. Perhaps a small fakeout up followed by price bleed after,”
But the key variable, as economist and trader Alex Kruger points out is “How much volume will Bakkt attract,” when VanEck’s “fake ETF” traded $0 in its first week while CME Bitcoin futures traded $460 million — with the current volume being around $700 million — on its first week.
As Jefferey Sprecher, the CEO of ICE, the company behind Bakkt, himself said, it is about curiosity and demand isn’t there yet.
The daily trading volume of BTC has further slipped down to $380 million.
However, Melker says,
“the volume on this weekend drop is non existent and there’s a potential bull div forming on the hourly,”
despite Bitcoin looking weak and everyone being bearish.
As such, “not all cloudy skies,” he added.