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FG Cheat Sheet 111621

Bitcoin falls -8% overnight

Nov 16, 2021

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Hal and Wasabi discuss Bitcoin’s short term outlook, the top 10 cryptos, and more.

CHEAT SHEET

Pink = Bearish, Blue = Bullish, Orange = Neutral since the date given in “Bias Since”. Support levels are where the price could bounce when falling and Resistance levels are where the price could stop if rising. The black outlined boxes show the price at the time of cheat sheet creation. You can find more details on how to read the cheat sheet here.

What We Are Watching

We further breakdown our case for these cryptos here : What We Are Watching

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Crypto News

‘Bitcoin Senator’ Lummis Joins Wyden to Undo Crypto Language in Infrastructure Bill
China arrests senior Communist Party official for corruption linked to bitcoin mining
Mastercard Partners with Multiple Financial Firms to Establish Prepaid Crypto Cards
A Bitcoin Explosion: El Salvador Now Has More Digital Wallets Than Traditional Bank Accounts
$ORION Airdrops and Staking on Terra
There is now a MIM 3crv pool on Avalanche

Bitcoin Outlook

Bitcoin has officially gone sideways for a month. We suggested that due to “big round number” $60k would be a key level for Bitcoin, and now it has officially bounced between $60k and $69k. Currently, it appears to be holding $60k as support. The price took a quick dip down to the 0.618 fib line at $58.k and is now sitting just above $60k again.

I am personally fairly neutral here, a retest of $50k seems just as likely as making a new ATH at $70k. Using the cheat sheet the downside on the monthly is $51k and we are at resistance near $62k, so if the price can close November above $62, then $80k is likely. However, more consolidation could see $50-$51k get retested.

Possible Course of Action

If not long this could be a good entry
From last week : “Shorting a breakdown of this pattern with a price target of $60k”. If you were short you should be thinking about closing your short here

The Bulls’ Defense:

Potential outside reversal on shorter time frames
Price bounced off 0.618 fib retracement

The Bears’ Prosecution:

Price weakness could see $50k be retested

ETH OUTLOOK

ETH is finally not going up and to the right. Now it’s just going to the right. The price is back to the same level it was at two weeks ago. You can see the RSI in the bottom panel has dropped and is threatening to close today below 50. We pointed out last week that the RSI would need to stay above 50 for this price action to continue. Most, likely there will be some continued consolidation or sideways price action now that this momentum has broken.

Possible Course of Action

Take profits if long since early October
A short down to $3800 could work

The Bulls’ Defense:

EIP-1559 has burned $3,864,740,388 (908,997 ETH) so far. Supply constraints should continue to have a positive impact on price.

The Bears’ Prosecution:

Weakening RSI, price has fallen from mid term up trend

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