Table of Contents
Overview of BTC (long-term and short-term TA)
Overview of ETH
TA of the Nasdaq Composite Index (US100)
Overview of BTC
“Sell in May” is finally over.
The US100 showed a strong rebound at the point of consciousness, but BTC is a little weak and the ranging market continues. The cause may be the decline in ETH did not stop. It will be necessary to look at this as well.
I want price action to show a positive line forecast next month, but this needs to be carefully determined.
I want to trade with calm and faith by the charts while watching the movement of the US100 next month.
While watching all the movements of BTC, ETH and the US100, it is necessary to respond flexibly to the market environment in a timely manner. It can be said the difficulty of the current market price is BTC alone cannot be used to many any judgments.
↓ BTCUSD monthly candlestick chart
Since it is the timing of a monthly close and update, first of all, a recognition from the market.
This month’s lunar candle is likely to be confirmed by the big shadow line. Think about the monthly candle for June next month. As with last week, my policy is to take a long position with the lower wick of the hidden line during May only if the initial movement of the lunar leg is down. This is the basic idea of candlesticks.
Of course, it may be a positive line without a lower wick, but I think the possibility is extremely low, especially at the monthly level. It is clear from the past lunar candles on the left side of the above figure.
↓ ETHUSD weekly candlestick chart
Despite BTC’s ranging market this week, ETH showed unusual developments as it broke lower supports. As ETH fell, BTC also tended to be slammed, albeit within range. Since support held at the white box once, there is a possibility it will make a positive line next week or next month. At least it seems that there is a plunge short from this position, so even if it is a hidden line, I think it will swing up once in the short term.
↓ ETHUSD monthly candlestick chart
Rather, we have to think about the case of breaking the current price range.
In that case, be careful because there is no support until down to around $1,400.
Short Term
In the short term, the link with the US index has become less correlated.
Although the US100 showed a price increase, BTC did not show any, probably due to the decline in ETH.
However, when the US stock index shows a sharp decline, I think BTC will be entangled, so it is better to refrain from holding a long position keeping an easy mindset and a sense of affordability.
TA of the US100
↓ US100 weekly chart
I think the US100 is still in a downtrend, so I’ve briefly illustrated a support box where it likely to show support if the downtrend continues. Since BTC is often correlated, it is inevitable to observe the price action when the Nasdaq Composite Index falls to these support areas.
It is unknown at which side it will stop, so I would like to pay close attention to the short-term candle movements in this white box.
Last week I stated,
“It is certain we are approaching the price range where it should show a rebound in price.
Specifically, it is the daily 200EMA/200MA and the horizontal box that overlaps it. In particular, it can be seen from the above figure the 200EMA and 200MA are points that can be bought and conscious even in the past crash of the corona shock.”
Showing a reversal.
If price falls again, it will turn around in the short term at around $11,000.