Remember how I kept posting about the shifting channel we were getting in BTC represented by this gold trend line? About this massive purple trend line keeping BTC down? About not having any volatility?
We just got everything in one evening.
1. Broken trend line: Check.
2. Broken wedge to the upside: Check.
3. Broken RSI wedge: Check.
The Tether (USDT) scare drove price up. Right now, we are getting some disparity on different exchanges.
On Bitfinex, for example, we have BTC printing around $6,750. But on Gemini and Coinbase, we are printing around $6,400.
If this disparity holds, this will be very good and will drive prices higher. Bots (and people) will begin buying cheap BTC from USD on Coinbase and GDAX and selling it higher to profit, or just holding, knowing they can sell it higher.
Think about a bot making a $500 tick every time it buys and sells. Arbitrage bots have been dormant for some time. I bet they get turned on again. Ultimately, if we see this price disparity continue, we will see prices go higher substantially.
Volatility returning is great news. It will bring in more action, more buyers and attract people that have been on the sidelines.
BTC to 10k – looking a lot better after last night.
Still holding,
Sherem