FxWirePro: BTC/USD’s gravestone doji plummets prices below DMAs, weakness in intermediate trend intensified on bearish crossovers

Both minor and intermediate trends of BTCUSD has been weaker as the current price of this pair has slid below DMAs & EMAs and the closing prices from last three days have remained below $8000 mark.

As shown on the daily plotting, the bearish swings are intensified especially after breaching below the neckline of the double top.

Gravestone doji has occurred at $8891.81 after the failure swings at the stiff resistance of $9358.49 levels, the bearish pattern followed by shooting star and hanging man formation have managed to plummet the prices below DMAs, while both leading & lagging indicators seem to be in bears favor.

Both RSI and stochastic curves converge downwards to the ongoing downswings to signal the strength and intensified bearish momentum.

In intermediate trend, the shooting star has occurred at $9583 levels after the failure swings at stiff resistance at $11845.70 levels (refer weekly plotting), subsequently, the current prices slide below  EMAs with bearish crossovers, both leading & lagging indicators on this timeframe as well are signaling the selling sentiments.

Both trend indicators (EMAs and MACD) are substantiating the bearish stance, the downswings seem to be extending further.

Hence, one can buy 2w ATM delta put in order to participate in ongoing price downswings, the payoff structure would comparatively be exponential than underlying spot trades as long as BTCUSD keeps sliding further (refer payoff table).