Crypto Crash Explained in 2 Minutes!

[00:00] In two minutes or less, I'm going to explain  everything that I can about the crypto market   crashing and where I think the price is going  to go. All right, starting with Thursday,   October 30th, we had a hourly candle close below  a sixmonl long uptrend, which it was like, oh,  

[00:17] I loved it. I'll explain why in a second. But  by the end of the day, price had moved back   above that trend line. So, if we look at the  daily candles, we get this huge long rejection   wick and a continuation on that uptrend. Now,  a 10-second lesson on trend lines. An uptrend  

[00:34] like support and resistance is a rising support  level. So, the support continuously rises until   the buyers lose that level and they show weakness  at that level. That's when the sellers take over.  

[00:48] Vice versa for a downtrend. So, we had that  support. it pushed it above and they lost it   immediately after. And since Monday, we've gone  down 11.2% on Ethereum. Now, if you watched a  

[01:00] previous video of mine where I share my crypto  profits and what I've made so far this year,   uh, in July, I sold 47 Ethereum at the 3700 level,  assuming we would have a sharp correction down.  

[01:12] Price continued up and I sold my remaining  77 Ethereum at 4730. And my price target is   down here at the $2500 level where I will buy  all of them back at a lower price. The reason  

[01:27] I'm targeting this level is because if you look  at the volume profiles on the daily time frame,   that's the point of control. That's where price  is most comfortable and that's where price is most   likely to return to. So, if you're wondering why  crypto has been crashing since Monday, I thought  

[01:42] it was going to happen a little bit faster, but  the markets needed to gather some liquidity at   this high range and then go down. Overall, I'm up,  so I don't really care that much. One more thing,   just so that you understand this, markets move to  grab liquidity. That's all they do. They go low to  

[01:58] get low prices and they go high to get high prices  and people enter and exit at specific levels. If   we look at this wedge pattern, price shot up above  it, breaking the wedge pattern, grabbing liquidity  

[02:10] up here and then cascading down from 4,100 to  1300, sweeping the liquidity below this low right   here. Now we've shot up above, sweeping liquidity  from these highs. And now we are going back down.  

[02:25] I'm assuming after a couple of sweeps like this,  we should revert back to the point of control   where price feels most comfortable and where  the highest volume of this asset was traded,   which again was 2500. That's my price target.  I'm not Nostradamus, but this is my opinion. I've  

[02:41] been doing this for many years. If you guys want  to watch the full video on my Ethereum trading   this year, it's right here. Thanks so much  for watching. We'll see you in the next one.