Ignore the News and Focus on Price

Alfonso Depablos, CMT
October 18, 2023

From the Desk of Alfonso Depablos @Alfcharts

The "news" is designed to be a distraction for investors.

Earlier in the week, Bitcoin made some noise as the price soared 10% amid rumors of the approval of BlackRock's Spot Bitcoin ETF.

At the height of this speculation, Cointelegraph apologized, stating the rumors were false, resulting in the liquidation of $65 million BTC within minutes.

When we look at the chart, Bitcoin continues to press against the same overhead supply level it’s struggled with all year. It’s really that simple.

The 30k area represents former support at the 2021 low as well as the AVWAP from the all-time high, making for a confluence of resistance.

A breakout above 30,000, and we'll be looking for Bitcoin to make a run back to the old all-time highs, as it will increase our conviction that a fresh leg higher is on. Until then, the message is sideways for longer.

Remember that basing patterns take time to materialize. They don't happen overnight. So patience is warranted as demand absorbs the supply around this level.

Follow price, manage risk and shut off the "news." Until BTC reclaims this key polarity zone, there isn’t much to talk about in the world of crypto.

As always, we love to hear from you, so shoot us a note and let us know what you think.

Alfonso

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