If you have been following my account at all you are by now surely aware that I have been mid term bearish on Ethereum and crypto in general. Today it took the tumble.
Now that the predicted price action on ETH has played out, it is time to to start taking profits (if you haven't already).
I have used the low created on the December 4 as the parameter for profit taking. That Dec 4 low also lines up with where a large amount of leveraged long positions have been created will most likely be closed or liquidated if sell pressure keeps pushing past the Dec 4 low which would cause the price of the asset/asset class to cascade even further.
This scenario would look like BTC sub $40k, and ETH sub $3k. And could likely bring the entire crypto market to $1.7T market cap. Right now it is $2.1T (12:10 am 1/6/2022).
I do believe that once this happens, panic will set in and soon after capitulation. People will quite the space forever.
Smart short sellers will take profits on the way down. Greedy ones will keep shorting.
Short liquidations will start to spike up once long leverage is cleared and market capitulates. And to exit these positions sellers must buy, causing momentum to spike up and essentially causing a squeeze that could very well lead the crypto asset class to new ATH.
I have linked my original idea in which I provide my criteria for why I thought Ethereum would tank in the first place. I have also linked the ideas/updates posted since then.
*always be cautious when trading and set stop loss and take profit parameters
**the market is volatile right now, please be careful how you allocate your hard earned funds
Now that the predicted price action on ETH has played out, it is time to to start taking profits (if you haven't already).
I have used the low created on the December 4 as the parameter for profit taking. That Dec 4 low also lines up with where a large amount of leveraged long positions have been created will most likely be closed or liquidated if sell pressure keeps pushing past the Dec 4 low which would cause the price of the asset/asset class to cascade even further.
This scenario would look like BTC sub $40k, and ETH sub $3k. And could likely bring the entire crypto market to $1.7T market cap. Right now it is $2.1T (12:10 am 1/6/2022).
I do believe that once this happens, panic will set in and soon after capitulation. People will quite the space forever.
Smart short sellers will take profits on the way down. Greedy ones will keep shorting.
Short liquidations will start to spike up once long leverage is cleared and market capitulates. And to exit these positions sellers must buy, causing momentum to spike up and essentially causing a squeeze that could very well lead the crypto asset class to new ATH.
I have linked my original idea in which I provide my criteria for why I thought Ethereum would tank in the first place. I have also linked the ideas/updates posted since then.
*always be cautious when trading and set stop loss and take profit parameters
**the market is volatile right now, please be careful how you allocate your hard earned funds
