It is September 3rd, 2018! BTC dominance is currently at 53.0% (+0.6%. Total market cap is currently at $236 billion (- $2.5 billion). The market volume of the last 24h was $12.5 billion (- $1.3 billion).
In the last 24h we saw slightly increase in BTC price but overnight price dropped to 7.2k again. BTC dominance is growing while alts are dropping step by step!
Bitcoin Cash Stress Test Results: 2.1 Million Transactions Cause No Surge in Fees
While most of the community thought that BCH network was fast because of low amount of transactions, this is something that proves them wrong! This is really big thing for Bitcoin Cash especially for mainstream adoption because a lot of merchants will want to use it because of low transaction fees and because of its ability to process big number of transactions!
Dogecoin Drops 35% as Dogethereum Sentiment Wears Off
Weekly chart :
On this time frame we see that BTC didin't close above mid bollinger band! It is not bearish sign but it didnt become extra bullish. To target 9.5-10k area wee need to see close above mid bollinger on weekly time frame!
Daily chart :
The bullishness on daily time frame is not confirmed yet! We saw 2 times wicks through top bollinger but so far we do not have a close above! It means that bulls are losing power and if we do not see close above today, then we may see some correction 7050! After that potential correction, the drop may continue all the way down to 6750 or we may see bounce off.
The main question I have now is why did number of shorts grow on Bitfinex almost 50% in less than 4 hours?
There are 3 possibilities!
1) Bears are preparing for massive dump!
2) Community is preparing for massive dump!
3) Something else!
I am almost sure that 2nd is not possible because if community is becoming bearish, price would follow the massive increase!
What could be reason is trap to scare community but why would someone risk its own money to open huge amount of shorts? I do not see the reason!
So, this is something that confirm these closes below mid bollinger on weekly and top bollinger on daily! Also, the close on daily confirms resistance on weekly!
So, to conclude, at the moment for longs I would wait for correction to happen because safe stop loss is below 7000 or in best scenario below 7100 so it is big gap that could make you big loss. For shorts, this daily close is important! If it closes like this, probably correction will happen!
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