Trapped Traders are fuel for trending moves. How to take advantage of it?
Some of the best RR setup you can find is by having answer to this simple question. What side is being aggressive at likely a tail end of a move. As this is your counter party.
Good chunk of market participants in crypto trade without an invalidation and their stop loss is their liquidation. So market tends to hunt these liquidity price points and you can take advantage by simply staying aware of these patterns as they develop in real time
$HYPE moving as per plan and back to ATH
Your only chance of getting another good entry is a dip into the EMAs
Alternatively, if we break above with volume, I'd look to hold my long into price discovery
TLDR: Hold if you longed with me, buy dips till it stops working
When obvious levels that everyone is eager to see price trade into, "fail to hold" it invites late shorts aka "trapped traders/bottom shorters".
We saw price on LTF rejecting the 60k level but eventually got the close above. Not to mention 1-2B liquidations in crypto as of late is a good indicator for a relief given the price context
near:native first leg done for me✅
Up 13% from entry and TP1 at $2.4
All about the right rotations, also placed stop to entry on $HYPE and cut TON for now, didn’t know about Bybit delisting
Leave a ♥️ if you want an update for the entire watchlist
Now that we’ve had mass alt rotation games
I believe we can now have a small ETH rally especially against BTC. We should have at least a bounce in crypto with BTC testing former range highs at 72-74k zone already
Betting a bit on ETH. Will look into more. Primary spot bag still HYPE and BTC
The move I’ve been talking about for the past few weeks (BTC 72-80k range ) and revisit of range lows again has played out
More inclined to look for longs but key levels + quarterly VWAP test was not strong
Let’s see
$BTC had a failed auction below March Highs and multiple days of value now in the small 76-78k range
With many alts firing off and intense rotations if we can break above $78-79k again I'm assuming we go for the highs when certain alts like HYPE NEAR make new highs
If we roll over back below 74k lows then I'd be inclined to cut all alt longs we have running and sit out
Most people are longing coins that are ranging or stuck (like TAO) as a catch up trade
And then trying to fade coins that are uptrending with fresh catalysts and in ATH territory (like HYPE)
You are making your life difficult, don't trade mean reversion on HTFs
solana:So11111111111111111111111111111111111111112
Our long POI got hit over the weekend and we got +7% move from it so far. Price is trading at a trouble area (86-87) that is capping price.
1/3 orders filled
Can trail stops or even take partials (I am)
$SOL
Trade done, netted us over 17%. And we got the reaction from the highs as well as I was predicting. Now, if we manage to lose the EMAs, then it probably does the range thing all over again and move towards low 80s won't be far fetched target.
Alternatively, closing back above the last swing high should result in higher prices
Since crypto isn't volatile as it used to be. Now people are caught off with surprise every-time market moves (2-3%) and they are clueless on how to trade it.
Below are 2 of my fav trending market setups that I use to long the dips/avoid round tripping at local highs.