We've seen this type of trap before. Previously, it moved downward, and now it's heading upward. Unfortunately, it's a bull trap, with 24-hour volume at an all-time high, enticing people to buy BTC, only for prices to drop sharply afterward. This market behavior impacts many small traders, as well as retail and wholesale traders, who all get caught in this type of market manipulation. Todayâs volume is over $40 billion, but tomorrowâs volume could drop below $30 billion, as we saw two months ago when BTC hit $72k and then fell sharply to $49k, causing many traders to lose their entire investments.
We lack complete knowledge and information, as Iâve mentioned before. After prices rise following a bull run, we often see whale movements, the Fed cutting rates, unemployment rates falling, and other factors contributing to market shifts.
The first step when faced with an unexpected bull or bear trend is to stop trading and wait for the next move. This is when research is essential. Itâs important to take the time to fully understand the market and develop a strategy based on accurate chart analysis before entering again.
BTC has completed two âWâ patterns â one large and one small. Iâve highlighted areas where traps have occurred, with the first trap at $49k and the second at $68k, which is where we are today, and prices are still climbing. However, we donât know when the whales will exit the market, which could lead to a sharp price drop. Before the election, we could see BTC prices fall to $40k-$45k.
You can see the traps in the images.
Like and share my post, and follow me for more market analysis. Thank you for your time!
