Bitcoin Diamond in the Brush (January 2022 BTC)

There’s nothing pleasant about having to wait to open your gifts when you know they’re sitting there waiting for you. “Come to me… open me up… see what’s inside” you hear from spirits deep within. 

TA Diamond pattern holding BTC in range 46.5–52.5k until Jan 15 2022

I’ve been tracking BTC price moments from the local bottom and later top of the most recent bullish reversal we had from October 1 to October 21st, where we then topped and started the bearish reversal retail traders are suffering through now. 

If the TA-chart-Gods hold to their word, we have confirmed the entry and support lines of what appears to be a sideways, range-bound diamond pattern on the charts. The fun part will be hitting the resistance at the top of the range at 52.5k. A wave of greed will strike the markets, without a doubt.

“Volatility is our friend,” as the saying goes. Let’s never forget that!

If the diamond pattern holds, it would be wise to expect we might still test the bottom support levels down as low as 46.5k-48k, about where we’re trading right now. Painful as it is for HODLers and anyone who buys at the top of the range to retrace and test support … I’d still be bullish, looking for a breakout towards 58k if we break out of the pattern towards the upside. 

If we breakout towards the downside, we’re in trouble. Testing 40k support again for a double bottom would be within reach. Expect fear to take over and the bears to dance in the parade. :-0

After clearing through a lot of derivatives bets across all exchanges at the start of the month when we pulled back 30%, open interest is on the rise again, signaling folks are getting excited again, and opening up new positions.

I’m ready, what about you!? Have you set your buy-limits? Have your sell orders in place to take profits? Let’s be smart money folks!