Crypto Market Review 12-28-20
Hey guys if you like this content I would greatly appreciate it if you guys liked the video and subscribed to my channel it helps make these videos worth it going forward hey guys it's Altcoin Sherpa here with a crypto market review as always this is not financial advice everything I say here is just for educational purposes only I'm not a professional please do your own research trading is risky I had a great break and am now really happy to get back to the charts and market and let's start I'm going to be doing a review today on bitcoin and the majors and yeah I guess we'll go from there so right here is I have a bitcoin chart with a fibonacci extension and I am expecting price to eventually test 30 000 if this current area of 26k is broken I'm sorry 27k and as you scale down the fib extensions are pretty good in general in my opinion you can kind of see this 24 and a half here I'll ex-- I'll make this a little more condensed you can see this 25k acting as resistance it's not perfect and if i fib this a little more accurately you probably would be a little tighter but this current area was resistance as you can see price broke through and now is going to the next fib area it wouldn't surprise me at all to see this break up to thirty thousand thirty thousands a very logical psychological number it's nice and even similar to 20 000 I am expecting this to go to 30 000 on high time frame charts yeah this is still incredibly bullish you can't call this bearish at all even if this were to dip down to 20 000 that's still just like a 30 retrace and that's still really it's still fine it's still a very bullish market structure you know if this grinds up to 30 comes back down after like a big shakeout period go comes back down to 20 000. that's still going to be a higher low formed and i don't necessarily think that's going to be the macro top um if you look at the way that price basically came to this 20k level and higher this move right here and we can just really just delete this this move right here going to 20 20 000 and beyond this was quite a bit different in my opinion than when price went from you know the 3 000 all the way up to 20 000. this move right here was quite a bit more parabolic in my opinion whereas this move in 2020 had a lot more ranging periods where price just straight up accumulated and there were a lot of arguments for accumulation all throughout the summer and the early early fall and fall and price basically just ranged for weeks on end in months and the way that price did this in my opinion is quite a bit different than in 2017. 2017 pretty much did not
have many pullbacks at all just kept going up higher and higher once it started going from you know 7 000 3x in price pretty quickly whereas this market structure seems quite a bit different than in 2017. so what am i trying to say here I'm trying to say that i don't really expect price to have a 2017 blow off top type of price action and then go all the way back down to 10 cat 10 000 to 10ks of course you never say never in crypto you know it might hit up there then you know maybe it just just goes back down and maybe that's just it for a while but i personally believe that what's more likely is that we will see price hit 30 000 or maybe 35 000 I'm not sure where this is going to stall out I think that it makes sense for price to come back down to 20 000 area just in terms of this being a demand area and even if it goes from 30k to 20k as I said a 30 correction it really isn't bad at all in my opinion by crypto standards that's that's completely normal like you know we're used to losing 50 on a day traditional market people would [ __ ] the [ __ ] themselves but in crypto that's like totally normal and seeing a big shakeout period in my opinion would be it'd be healthy and it's something that I would like to see not just because I trade alt coins but just for the overall sustainability of this move I think it's it's like a healthy thing to see um so yeah that's kind of what I'm really wanting to see is basically a move to 30 to 35 000 shake out to 20 000 or maybe a little lower depending and then for price to enter this big old ranging phase for a few months I I don't expect it to go this long I'd like for price to build a base and then for price to just go on an absolute moon mission in 2021 to I don't know 50 000 or something like that i have no idea but that's kind of what my projection is for bitcoin I'm still waiting for a big pullback I don't know when or where it's gonna happen but I'm just assuming that price will eventually pull back it's just the way markets move in my opinion and i just but I just don't know where it's going to happen so that's kind of what I'm looking for in terms of bitcoin and i think that you know this is a bullish market structure any dips should be bought ETH USD I have many charts of this going basically 100 starting in December and it's quite possible that price um you know this was the low in December 7th right here but if you look at the previous three years and I'm not going to go through that chart again because everybody's probably seen it but the ETH USD has basically gone on a run starting December where it goes at least 100 percent return on investment over the next few months and it has the last three years i don't see why this year should be any different and i really really expect ETH USD to just go to at least 1k I think it's it's highly likely that this goes to one thousand dollars at least even if you use the December seventh lows here over the next few months I think that this goes to a thousand dollars and any dips for east should be bought in my opinion ETH is one of my biggest spot bags just because I think that this one is going to do very well over the coming months and yeah it wouldn't surprise me at all to see this go to a thousand dollars in terms of lower time frame charts I mean you still see really healthy volume coming in and you might have thought this heavy cell volume was scary but given the context of the market and given bitcoin is doing so strongly I expect ETH USD to follow bitcoin and you know this heavy sell side pressure was just absorbed buyers just kept buying all these dips and then price kept moving up so in my opinion it's very risky to short ETH USD I expect this one to do very well over the coming months I don't know how many multiples it's going to do but I do expect it to at least hit a thousand dollars in the coming months I think it's just super likely and I would be very surprised if this didn't didn't do that ETHBTC has been in this arguable range and ETHBTC has always usually been an indicator for any alt coin pumps that we might have or alt season whatever you want to call it in my opinion all coins don't really pump and move hard until bitcoin is done doing its thing and that's partially the reason why I'm hoping that bitcoin does just just do this big 30 retrace move is because I'd like to see that a big shakeout period where bitcoin goes down and then alt coins are also going to go really down they're going to suffer more than bitcoin I expect alt pairs to sell off if and when the shakeout happens and then following that period I expect alt coins to start pumping big ETH BTC has traditionally been a good indicator in terms of overall alt coin health the health of the altcoin market and right now price is trading right at the equilibrium of this range this range has been established ever since 2017 I'm sorry 2018. I think that we're getting closer to the point where ETH BTC is near the bottom and the reason for that is that we're seeing some signs of capitulation we're seeing like very very high cell volume come in the most pretty much highest highest sell volume on the weekly on this coinbase chart for most of 2019 of course this doesn't include the great el covid special where we had super high cell volume not seen since 2017 all season but the ETH BTC cell volume was very high and we saw some buyers step in a little bit and what I'm hoping to see now is for price to see some follow-up volume wise if BTC continues to go really strongly I expect ETH BTC and many alt coins really just to keep suffering and you know if bitcoin went to like 35 000 or higher then I wouldn't be surprised at all to see these range lows tapped quite frankly it would be really ugly for all alt BTC values and remember alt BTC values is just really alt coin price divided by bitcoin price so if alt coin price is staying the same or even still going up but not nearly as high as bitcoin then the alt BTC value is just going to keep going down and whenever alt BTC values go down it means that you would have been better off just holding your alt coin in bitcoin instead or just holding bitcoin instead of your altcoin so ETH BTC I don't think it's quite there yet what I'm waiting for is just a strong volume follow-up and you could kind of see that more in the march area I mean basically anytime from March I'm sorry December to March it's generally a fairly strong time for alt coins and you could even see it in 2018 you know you see like these big volume follow-ups and this is basically what you want to look for in terms of alt coins really starting to pump and move is you want to see big volume follow-up but you can see here in 2018 you saw like a lot of selling in this area right here and then this is like similar to what we're seeing right now is we're seeing a lot of selling but then you saw a lot of volume following up right here right after and you didn't really see it too much in December I mean you did see some high volume sell-offs for a few weeks but then you did see this high volume follow-up so you want to see the high volume follow-up when price starts to move and that's kind of the confirmation that I'm willing or I'm kind of waiting for again I don't think this alt b alt BTC values really move until we see a strong shakeout for bitcoin whenever or wherever that is litecoin i just analyzed this one on twitter and the basic note was that these supply zones or like resistance whatever you want to call them they sometimes take quite a few days to get through you saw here this was the supply zone right before the covid dump or price it looks like went from 60 to 20. 25 bucks and this one took several weeks to get through higher supply zone right here right around 85 to 90. again this took several weeks to get through this is the three-day chart and currently right here here's yet another supply zone it wouldn't surprise me at all to see price basically ping pong here for several days if not a week and or more and price to basically go higher and this is a lot of this is going to depend too on bitcoin if bitcoin just keeps climbing higher and higher and higher then we are going to see litecoin chew through this liquidity quicker and it's super bullish still I'm not calling this bearish in the least like look at this insane volume just follow up is crazy but there still are going to be sellers in this region and once this area gets cleared it wouldn't surprise me at all to see areas like 1 70 get tapped this is like kind of the next area right here 170-180 and then quickly after the 200s in my opinion is an area XRP this coin is obviously really really really bearish right now and here was some hopium I posted for um here's some hopium i posted for the XRP army maybe like an adam and eve reversal but I'm not really quite sure to be frank and honest with you in terms of this reversing you know there could be more bad news on the way I don't know but for now i mean this is like like potential opium for for ripple enthusiasts I personally I'm not trading this coin it has good liquidity and everything but there's too much fun around it for me to really you know long-term hold this or anything like that like before I used to actually do I did have a longer term ripple bag where I held it for like a few months and then i would just sell it but and I did I did buy some I think in November sometime but the problem is just that this just has so much fun around it that I I just don't know what's gonna happen and it's it's just I think that this could still very well pump to like the 45s or even higher but any potential pump is just going to have bad news looming over it and I think that the potential of this pumping is going to be limited compared to what it was before the bad news um so it looks like I have some old BTC pairs basically on on this list I think that I just wanted to highlight too this is kind of what we're seeing there's several different types of reversal patterns for all coins with their BTC pairs and we're kind of seeing this now where we're seeing these long accumulation periods this is one for seller and yeah I mean this is still still going on it's still still accumulating here is so okay so this is one type of reversal pattern is the accumulation bottom and what you'll see is like basically for prices range for months on end and then it'll start to move another accumulation pattern is the v-shape reversal this is what we saw with YFI I mean it's pretty clearly a v shape and now price is coming all the way back down to the origin of the pump it wouldn't surprise me to see this go even lower I would like to think that wi-fi wouldn't go this low but it's certainly possible if bitcoin still goes to 30 000 then this one's going to go to you know 0.6
would not surprise me at all to see this see this return I'm still bullish on this personally but and I'm gonna actually buy I already have some originally from around this area in terms of the BTC pair I bought it on this first move up and I've just kind of held it this is the other type of reversal pattern you saw this as well with regards to you saw this for ripple and you saw this for like dogecoin where basically it's a v-shape reversal so one last thing I wanted to go through is I wanted to talk to you guys about the bitcoin dominance chart that I have here and this is just something really briefly that I wanted to talk to you guys about I have a video on bitcoin dominance so check it out I go into it a little more in detail but basically the green boxes that I've marked here are times when alt coins really start to pump in late December or early January and this has happened the last three years obviously 2017 was the greatest alt season of all time but the market cycles have been pretty consistent the last three years where around December to January alt coins really start to pump this is the bitcoin dominance inverted chart so when you see price moving up that's the alt coin value or I guess alt coin dominance so to speak so you know when you see like a traditional bitcoin dominance chart would be something like this where you see bitcoin dominance going higher as bitcoin goes up but I thought this was easier right here the the bitcoin dominance inverted chart to basically highlight overall alt coin values a little better than the traditional bitcoin value chart dominance chart so I already as I said I went through a video on this so please check it out but basically I wanted to talk to you guys about this market cycle being fairly consistent where bitcoin I'm sorry alt coins pumped pretty hard from December to January and you saw this again in 2018 December 12th was the start and then it started stopped pumping around January 7th again end of December December 21st 24th and then it ended in February so you have about a month time followed by alt coins retracing hard for about a month this in 2018 it was late January all the way to late march this was a longer one because of how explosive that move was this one right here in 2019 was January 13th to February 6. so about a month and this one was February 12th to march 25th so again about a month you see alt coins cooling off after their big runs and then furthermore the blue boxes have been strong alt coin moves from usually March sometime in 2019 this is mid-February to early April in 2020 it was March 25th I think that was right near the covid special all the way to April and then the tan boxes are where alt coins basically die in the summer in 2018 and 2019 that was really a brutal time for many altcoin traders myself included and I just basically kept losing all throughout these two years 2020 was really different that was due to decentralized finance and what we really saw was the cooling off period in September and October and arguably continuing we are seeing it more now too we're seeing further all alt coin dominance just going further and further down just because bitcoin is so strong when bitcoin is super strong bitcoin is going to take more and more of the overall market share and as I said I don't see this changing until bitcoin basically is done with its run it's possible that maybe this is the area where it basically we're basically we'll tap around 20 well this will be the altcoin dominance chart so 27 percent and then maybe it'll bounce from there but anyways the bottom line is that I expect alt coins to really move strongly over the next few months I believe it's going to move strong for one month here starting in early January I believe it's going to pull back in February I believe it's going to bounce again in march to April and then I'm not sure on the summer but that's kind of my plan so make sure you guys look at the bitcoin dominance chart or the alt coin dominance the inverse chart when you can and that will give you a good macro indication of what to look for anyways I hope you guys enjoyed this video I know it was a little longer than normal but I have not done videos in a few days and I plan on cranking out quite a bit more content so please like and subscribe if you enjoy this content thank you for watching
2020-12-29 20:38
