Potential sleeper $BTC play setting up
Monday has started off with a parabolic move in miners and $BTC names alike with COIN 0.00%↑ and MSTR 0.00%↑ participating as well
I got these out early and they went well in the money by lunch time
I started to see some suspect activity come into another name that does hold quite a bit of $BTC and has been lagging respectively to other names.
This name has been very difficult as the fintech/payment processing space has been not as loveable. However TOST 0.00%↑ is near 52w highs and we have seen call flow into that name last week and this week now too.
Yes, it’s SQ 0.00%↑ I know I know. However, the most current number I can find is that they hold approximately 8,000 bitcoin. Also, the daily chart is setting up that puts a very good risk reward in the favor of an upside trade.
We are holding an uptrend from late 23’, as well as the AVWAP that was created from the earnings gap up that gave this name some momentum again. We are also holding a fib level 69.65 right below the 70 psych level. So multiple confluence areas of support we are starting to curl up out of and give us a very defined risk to the upside.
The most confirmation would be a break and hold of this 73.50 are we continue to reject in this hourly range. You also have the option to start selling credit/CSP or put credit spreads against that 70 support level.
Upside targets 74.35, 76.15ish, then the upper trend of the daily falling channel and roughly our next fib level at 78.14. I like to trim into areas of resistance, but a break of this area could trigger a higher time frame break out to the upside.
I currently have no position, would like to see a dip or more a confirmation of an upside break out. Stay safe and stay green.