Bitcoin has been trading sideways these past few weeks. It is now waiting for the next decisive move in stocks so it can finally break out of indecision. At the moment, it seems like the market is getting ready for a big move because volume on BTC/USD is drying up. The S&P 500 (SPX) has been making some good gains meanwhile and has now tested the previous top.
This has made Bitcoin traders even more restless who are now waiting for a move out of the chop zone. The altcoin market has seen some movements recently but it is still risky to be trading those markets when Bitcoin could make a big move to the downside anytime now. If it ends up making a fakeout before the move down and ends up breaking above the symmetrical triangle, then it might be a good idea to look for some short-term altcoin plays.
At the moment, both the S&P 500 (SPX) and the Dow Jones Industrial Average (DJI) have tested the previous tops. The monthly close will be crucial but for now the bulls are starting to become confident again. Meanwhile, Covid 19 cases are beginning to spike up again, targeting new centers this time. Previously, we saw cases spike in China, Russia, United States and Brazil. Now, Mexico leads in the number of new cases every day. This means that this crisis is far from over yet and would likely serve as the catalyst for the next downtrend in stocks and cryptocurrencies.