Bitcoin has a great and epic run since the beginning of this year, following the breakout to all time highs last year. No need to say only the sky is the limit for bitcoin as it appears so at the moment. Not only small guys like me have become increasingly interested in it, big guys like the richest man, Elon Musk, as well as more and more institutions are now pouring oodles of money into bitcoin. How can anything be not going up when billions of money is pushing it behind? So we see bitcoin has been making new highs almost daily and my crypto portfolio with a big portion of bitcoin and ethereum has experienced perfect BidenIdiot moment 😜
As you can see, the fantastic gain in the past year is mostly obtained in the past few months while most of the time last year it was quietly flat, a typical mimic of what has occurred to the demented Biden in terms of how he got his fake presidency due to frauds😵
While I'm extremely happy with my crypto portfolio's performance, I become increasingly bearish about it for the near term. As it turns out, I sold quite some of my altcoins this morning to take some chips off the table immediately after I saw the bitcoin chart with my appalling eyes. It is utterly bearish, sort of speaking.
Technically speaking, bitcoin is showing a double bearish setups: a perfect double top with significant divergency for both RSI and MACD. I think any technicians for the stock charting will agree with me that there is no more bearish setup right now than this bitcoin chart! I couldn't help but dump some of my cryptos when I saw this, and luckily almost just minutes before bitcoin started to fall apart this morning.
As you can see below, the interest for crypto has become parabolic lately, reaching the highest level never seen before. This is a contrary indicator, which is usually followed by a sizable correction as we saw that following the peaking of the interest in late 2017.
Don't get me wrong to think I have suddenly turned utterly bearish for bitcoin. Not at all! I have never been so bullish about bitcoin and cryptos in general for the long term but just technically for the near term I'm bearish. I won't touch my "physical" core cryptos for at least 10 years or even longer as I think we are just seeing the beginning of a totally new innovation, a new Internet still in its infancy. But for many small coins that have already shot up 5-10 times or even more, it will be silly to just sit tight at the moment when the short term technical setup is so ugly looking. So I'm selling less than a third of my holding to cash in some free money first. I'm also selling more aggressively the paper cryptos like GBTC etc as they have also increased so much lately. The paper cryptos are more like a trading vehicle for me for swing trading, a perfect tool to get in or out based on TA. But the portfolio I'm showing above is my core "physical" crypto portfolio that I'm holding it up firmly. Just like I'm a big gold bug, I'm also a big crypto bug that I'll stick to this mega trend for a long long time into the future!!💪😏
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