📝 Video Summary
Overall Market Evaluation
Josh is currently bullish on Bitcoin and expects a potential short squeeze due to negative funding rates and a confirmed bullish divergence on the 4-hour chart. He anticipates the bullish move to continue for a few days. He also analyzes the dominance of Bitcoin and the relative performance of altcoins, suggesting that many major altcoins might underperform Bitcoin in the short term, while some, like XRP, might be exceptions.
Key Points and Topics Discussed
Bitcoin Analysis
- Weekly Chart: Shows a massive bearish divergence still active, but the super trend indicator is green, indicating a bull market.
- 3-Day Chart: Relatively low momentum in either direction. Close to a potential bullish crossover, but the latest drop has moved it further away.
- Daily Chart: Bouncing above support around $110,000 - $111,000.
- Support Levels: $110,000 - $111,000 (short-term), $106,700 - $107,600 (if $110,000 breaks).
- Resistance Levels: $113,000 - $113,500, $114,500, $117,000+.
- 4-Hour Chart: Confirmed bullish divergence; suggests a bullish move for the next few days.
- Funding Rates: Bitcoin and crypto funding rates are flipping very negative, which can incentivize short positions to close and long positions to open, adding buying pressure.
- Trading Strategy: Josh has opened a long position on Bitcoin, betting on the bullish divergence. He is using a $150,000 position and plans to take profits at resistance levels and adjust his stop-loss as the trade progresses.
Altcoin Analysis
- Bitcoin Dominance: Bullish relief in the short term. This suggests that altcoins on average might underperform Bitcoin.
- Ethereum: Sideways price range. Holding above support around $3,900 - $4,100. Resistance is between $4,800 - $4,900. 8-hour chart analysis shows a short-term sideways price range. Key levels: Support at $4,060 - $4,100, resistance at $4,250 - $4,280, and further resistance at $4,470 - $4,500. Ethereum is expected to underperform Bitcoin.
- Solana: Confirmed a 2-day candle close below $215-216 (resistance). Support at $190 - $200. A break below $190 could change the bullish trend. Resistance levels are $215 - $216, $230, and $250. Bearish divergence is still active on the 12-hour chart, which can cause sideways price action.
- XRP: Sideways price range. Support at $0.270 - $0.280. Resistance is between $0.310 - $0.315, with more resistance at $0.330 - $0.335. XRP is outperforming Bitcoin, and the bullish move could continue.
- Chainlink: The larger price structure is bearish. Support is expected around $19 - $20. Resistance at $22 - $22.30.
Trading Strategy and Market Sentiment
- Bullish Divergence: Confirmed on the 4-hour Bitcoin chart, which is a key indicator for the short-term bullish outlook.
- Funding Rates: Negative funding rates are a strong bullish signal.
- Overall Sentiment: Bullish on Bitcoin for the short term, with potential for altcoins to underperform, except for a few outliers.
- Risk Management: Josh uses a strategy of scaling out of trades by taking profits at key resistance levels and moving stop losses to protect profits.
Alerts to be Aware Of
- BTC/USDT;>;113,000;Josh: Potential resistance.
- BTC/USDT;>;114,500;Josh: Potential resistance.
- BTC/USDT;>;117,000;Josh: Strong resistance.
- SOL/USDT;<;190;Josh: Break below would change the bullish trend.
- XRP/USDT;>;0.310;Josh: Potential resistance.
- XRP/USDT;>;0.315;Josh: Potential resistance.
- XRP/USDT;>;0.330;Josh: Potential resistance.
- XRP/USDT;>;0.335;Josh: Potential resistance.
- LINK/USDT;>;22;Josh: Potential resistance.
- LINK/USDT;>;22.30;Josh: Potential resistance.