Bitcoin is in a very different position from last weekend after the false breakout above $69,000 and the unfortunate Tether news.
Going into next week it sadly looks increasingly unlikely that Bitcoin will make a new ATH before the outcome of the U.S. election is known unless we see a major drive towards $69,000 in the next few days time.
Technically, bulls have been defending $65,000 very well, leaving the door open for an attack towards the $69,000 level.
Source: Tradingview.com
The 30-minute chart for Bitcoin shows that it is a now-or-never moment as a major bullish pattern could expire. But what are our indicators suggesting going into next week?
Starting with Biyond Vanguard and Orange is the dominant colour after the Tether news dropped late Friday.
Source: Biyond.co
Encouragingly, the 3-day time frame has not yet been effected.
In all honesty, we probably need a move above $67,500 level to get most of the time frames back into the Green zone.
Also, keep an eye on the 12-hour time frame, as backtest studies give the 12-hour buy signal the highest sharp ratio when it turns green.
Source: Biyond.co
Almost certainly we will need to see the price crossing a new ATH or record-high weekly close before Vanguard flips to Green.
Looking at our Long Vs Short ratio, it is both good and bad if that makes any sense.
The current short positioning bias on Global Binance accounts suggests that a major short squeeze has been underway.
Source: Biyond.co
Worryingly, traders have been short for some period, and this leaves the possibility of this metric shooting higher next week.
Given its inverse relationship with price, we really don't want to see that.
Going into the election day we want to see traders remaining short and the price creeping higher.
Source: Biyond.co
The most conclusive of all our indicators right now is Biyond Atlas.
This indicator has been and continues to show growing bullish momentum as it sits squarely in the Green zone.
In my opinion, the indicator suggests that Bitcoin is still poised for an upside breakout and a new ATH.
Source: Netdania.com
Ideally, I want to see Bitcoin trading as high as possible to cushion the blow of a potential Kamala victory, which could seriously limit the bull market upside or easily sink Bitcoin.
You can see from the above chart the two scenarios going into election day.
Factoring in all the indicators above, plus the technicals, I still think the bull case is alive and well going into the election.
However, bulls are running out of time to edge price to a new ATH before election day, which could make things very tense unless we soon cross $70,000.
