 so fear and panic peaked last week as you guys can see in the fear and greed index with the china bitcoin ban news headlining the tour de fad over the weekend a lot of rumors and speculation continued to circulate this crypto space as we hit another low of $31,000 but you can see exactly where we bounced here on the bottom of our falling wedge where it took off to where we currently are at a possible breakout point so is the bottom in is the reversal about to play out we're going to be talking about that plus a possible short squeeze scenario that can take us back up to 50k stay tuned hey what's up j here and welcome to bitcoin daily bring you guys the best tips tutorials and ideas to help you guys become profitable and successful investors the goal of this channel is to empower you guys with the knowledge and resources to help you get to that next level so guys make sure to smash the like button on this video if you guys are new here don't forget to subscribe and turn on the notification bell so as you guys can see the total crypto market cap is up to $1.59 trillion which is a 20 percent increase over the last 24 hours so if we take a look at the total market cap right now you can see that from the top of the market cap so the top that we were at was 2.577 trillion it dropped by 53 percent from the top to the bottom so from the bottom to where we are currently right now we've gone up 30 percent so we've gained another 361.855 billion dollars into the market basically over the last day so over the last 24 hours you can see that we're finally seeing some green again across the markets bitcoin is up 12 and a half percent today ethereum is up 27.8 or 0.6 now for 27 percent on the day guys binance is up 36 cardano up 25 doge is still not really moving to much only up 8 percent today xrp moving back up 23 percent and polka dot up 35 percent on the day some of the crazier moves are of course polygon matic that is up on over 100 percent on the day however in the last seven days you guys can see we're still basically red here the fear and greed index is at a all-time low at extreme fear well i don't know if it's an all-time low but it's at 10 which is the lowest we've seen it in a very long time if we go up to to the top to look at the graph here you can see that we've been going lower and lower and lower if i put a full year you see that this is a low the lowest that we've been if i go over to max you will see that 10 is the lowest we've been since march of 2020 when the pandemic plunged the entire market basically so if we come on over to the daily time frame here you can see the very very clear falling wedge pattern that we currently have here in the market we've been talking about it for about a week now it's still there so the falling wedge pattern is still intact and notice something here we're starting to get a push right we're getting a push up out of this pattern so this could be the beginning of our move back up that would mean that 30 k here and 31 k was the bottom this could also be the beginning of a w pattern basically that would be you know the the w like this the bounce up then the second bottom this would be kind of like the double bottom then a bounce up like that and that would lead us to continue up higher so that's also a reversal pattern there and now basically we're just waiting to see if we get that confirmation closed above this breakout zone here for bitcoin outside of this falling wedge reversal pattern right so this is a reversal signal if we get the breakout here so what can we expect if this does close outside and above this this um falling wedge pattern what's next what's to expect here so the next level is going to be 40 000 i would say 40 k is going to be the next level but that might not be the most important level the most important level here might actually be 42 000 i believe that above 42 000 because it was such a big as you guys can see here it was a big um component for support there you guys see that it was support here as well it's also a fibonacci level it was also a previous all-time high support again here so it's definitely a big point of interest because it's such an important level i believe that if we go above 42 k that could cause a short squeeze so you guys can see here that a short squeeze is a rapid increase in the price of a stock owning primarily to an excess of short selling of a stock rather than underlying fundamentals so as you guys can see here the way a short squeeze works is once we get a breakout where we get to the short squeeze breakout level which i believe is currently around that 42 000 mark it can cause a parabolic rise in the short term right and this is caused because short traders people that are short the position um they start getting margin called they start closing their positions they start hitting stop losses all of that basically which is what happened to us here right this was basically a long squeeze that's why these candles are so big because a lot of people that were long got squeezed and basically all their long calls and their long positions they were over leveraged in had to either they had to close it out or they had to they got liquidated which closed out the position so they ended up selling the positions things like of that nature right so above that 42 k level because it's such a big level for us there i think that that could lead to the breakout back to that 50 k level of course first we have to we have to get through 48 000 but i believe a breakthrough 42 k could lead us right back to 48 getting above 48 will get us back above 50 and that basically at that point we're back to where we started right we're back in our normal trading zone and we would be able to get back to 60 k at that point now it's not it's not going to be easy it's not going to happen overnight it's not going to happen it might not happen for some time but i do think that that's something that could happen that's the the bullish case scenario right now if you look back at the previous falling wedges that we had here you can see that once we broke out we did have nice moves up to the upside this one broke out here around that 50 000 range and went all the way back up to 60 k this one here broke out around 45 000 and ended up running all the way up to 62 000 before it took a break and then it ended up running to our previous all-time high up here 65 k here you can see a similar pattern as well when we broke out of around that 30 33 000 32 range ended up running all the way up to 58 500 and that eventually led us higher to our current all-time high so it's definitely something that we can see again right you know where it's the same pattern here we've seen the same pattern multiple times this could be every time you know since this boron has started every time we've seen this pattern it's been a reversal pattern and it's been a pattern saying that they're running the bull the bears are running out of gas basically and they're ready for a move back up the bulls have taken control again and that's what's happened every time so if we go off of history right if we base base this off of history what's happened in the past one we've seen the same move that's what the chart is currently telling us now of course it doesn't mean it's going to happen doesn't mean it's a guarantee it's not a 100 it's just a probability play right so the theory on this pattern like we always do we always I like to educate you guys on the theory of trading theory of patterns and different things that go on in the market so the theory of this one is that this is a reversal pattern this doesn't mean that the bears are getting tired they're getting exhausted you can see that if you look back on the daily the volume's been going down so that's also another sign for reversal and it means that the bulls are ready to take over here and push the prices back up so when you put this together with a possible short squeeze at $42,000 that basically gives us a possible target here to get back above 50k and possibly be able to retest $60,000 area which has been a big resistance for us and the previous all-time high so I know you guys are wondering are we taking any trades yet because lately we've only been dollar cost averaging as a price has been falling we've been dollar cost averaging on the way down remember we told you right now we were only buying for long-term positions we're just stacking up sats at its since it's currently at a discount we just wanted to stack up as much as possible for the run back up because we really do believe in bitcoin in the long term even if we have to wait years it's fine we are okay with buying as the dip goes down we will stack up and when eventually it does go up then we're prepared but Jay like you're just telling people to buy the dip while it's falling and that's dumb they're just going to keep losing money stop telling people to catch falling knives that's not good advice first of all this is not financial advice secondly what we always say to do is to dollar cost average dollar cost averaging your way down as the price dips has proven to be the most successful strategy the most simplest strategy for anyone that's trying to get into the market at better prices we did the same thing last year during the march 2020 pandemic when everybody was fearful when everybody was scared everybody was saying that it was over that we were all doomed we bought the dip we told people that what we were doing and how we were doing it dollar cost averaging our ways down and that they could do it too because we recommended that was the best strategy the simplest strategy for someone that's not a day trader so anyone that did that during that time is in profit buy a lot and we believe in the long term again by doing the strategy you will be in profit again this is not advice this is just our personal opinion this is my perspective don't have to do it if you don't want to it's okay stay poor if you're scared go to church or put your money in the index funds make your eight percent returns annually and have peace of mind that's fine it's nothing wrong with that but jay so you always say huddle does that mean you never take profits incorrect again we always tell people to take profits as the price goes up and buy as the price goes down what we do is take profits as the price goes up to new all-time highs we build a cash position which is part of our portfolio which we have told you guys in many different videos and then as the price falls we use that cash position that we have ready that we took profits with and we buy more bitcoin now the majority of our bitcoin we bought long term so we bought at prices that are very very far away from where we currently are right now and that part of our portfolio is for a long term for the next 10 years we don't plan on selling now our cash part of the portfolio which it makes up around 10 it could be anywhere between 5 to 15 percent at any given time it depends we use that liquid cash to buy dips and then as the price goes back up to all-time highs we take profits and we build we rebuild that cash position we try to maintain it between 5 to 10 15 percent of our portfolio and we use that cash again when there's another dip and we just continue doing this over and over in over the long run this continues to build us up our bitcoin portfolio bigger and bigger any outcoins that we're buying the same thing we just continue making that position bigger and then of course we have a separate portfolio just for trading which is about another 10 to 20 percent of our entire portfolio there's a method to the madness guys all righty guys so we've covered our thoughts on bitcoin and the entire crypto market in reality bitcoin is the entire crypto market right so and our thoughts on it where we think it's going the possibilities for the next move in the reversal and now we're going to talk about some possible short-term trades that we're going to be looking forward to take with some leverage now if you're enjoying this video make sure to smash that like button if you're new to the channel don't forget to subscribe and turn on the notification bell now let's all go ahead and smash the like button at the same time are you guys ready one two three boom all righty guys so let's talk about some trade setups that we are watching here so the first level and really one of the only levels i'm currently looking at right now is the same level i gave you guys on friday's video i want a break above 40 000 dollars a break above 40 000 should take us at least to 42 000 obviously it's not a given but it's pretty secure pretty secure of a trade if we get a break in confirmation above 40 000 so that's the the trade i'm looking for this week right now and then my second trade would of course be above 42 000 that would be the next trade i'm looking to take right now if we go backwards if we go down i'm not really looking for any trades because we could come back down and test the top of this falling wedge before continuing up that is a possibility that is something that prices like to do a lot i'm not really buying anything down here for short-term trades i am buying for long-term trades so remember that anywhere between 30 000 to 32 000 i am buying for short-term trades below 30 000 i'm also dollar cost averaging my way down but that's all for long-term trades for short term i'm only entering above 40 and 42 here for bitcoin for a theorem i've gotten a little bit uh riskier as you guys can see 2500 is a big level for a theorem here so i've actually been taking short-term leverage trades here at 2500 today really the next trades i'm looking for here i'll still be using at 2500 level to continue you know enter if we go below it again and it goes back above i'll enter again with the momentum to the upside if we continue up the next trade i'd probably be looking at is possibly above 2800 and then of course above 3000 dollars 3000 will be the that big big level there so above 3000 i'm happy to take trades there above 2800 i'm taking trades but i'm still risking under 1% of my trading portfolio there above 3000 i'll be risking a little bit more i'm willing to risk 2 to 3 percent of my theorem portfolio all right god that is pretty much it i know it's been a crazy weekend and it's been a crazy week really but things are looking are starting to look a little bit better um we're seeing the light at the end of the tunnel here so we just gotta stay positive guys you gotta stay with it i'm continuing to dollar cost average if the prices go down if not then i'm starting to look for short-term trade setups as the prices go up and looking for that bounce back man to previous highs so we just gotta take it day by day dollar by dollar and we will get there guys the bull run is not over thank you guys so much for tuning in make sure to smash that like button guys on this video it helps us out a ton make sure to subscribe to the channel if you're not subscribed yet and guys pay attention because we're doing giveaways still so pay attention most of the giveaways you have to you're gonna have to put a comment on the video so guys comment on this video for a chance to win our giveaway all right guys so i will see you on tomorrow's video as always peace and love