Bitcoin Daily Chart Alert - Gunslingers Playing With Fire - Dec.8
Editor's Note: Welcome to Kitco's new Bitcoin Daily Technical Alert. Every trading day veteran Kitco technical analyst Jim Wyckoff will provide you with a concise and easy-to-understand near-term technical brief on Bitcoin. Importantly, Jim will glean the short-term charts and technical studies, and then alert you to the signals he sees regarding upcoming potential bigger price moves or price trend reversals. Jim's unique and exclusive daily technical report is an absolute must for any trader/investor/market watcher who closely follows Bitcoin.
(Kitco News) - Bitcoin-U.S. dollar on Friday morning hit another record high. See on the daily chart that Friday’s and Thursday’s price action has been even more extreme than the already-extreme price up-move seen earlier this week. Higher volatility at higher price levels is a technical warning signal of a topping process in a market. Bitcoin is now a gunslinger’s market. Those who have just jumped on board the long side, or those thinking about doing such, are playing with fire. One other comment: There are notions that when Bitcoin futures start trading next week the short sellers will immediately step in bigtime. Looking at price action in Bitcoin the past two days, it begs this question: What trader will be willing to go short in a market this volatile and which is still setting new highs? That short seller could be wiped out in one day!