From Weakness to Base: $BTC & Software Show Stabilization

This chart tracks what have been two of the biggest weak spots in markets.

(and is interesting for 2 key reasons)

First: both Bitcoin and Software stocks have stopped going down (and actually are starting to look very promising from a technical standpoint)

— i.e. the weak spots are no longer getting weaker.

That’s important because in markets weakness has a habit of spreading.

But also, further upside in these two (which is looking likely) will help rebuild sentiment and reinforce the bullish outlook for stocks in general.

Which brings me to the second point…

Second: both boast a bullish tactical outlook (as I just outlined in my latest Weekly Macro Themes report)

Basically, we’ve seen a major reset in price (software down more than -35%, bitcoin off almost -50%) and a big washout in sentiment/positioning.

And yet, the longer-term uptrend remains intact for both assets.

We’ve also seen both Bitcoin & Software stocks rebound off of clearly defined support levels (and p.s. those support levels also serve as useful triggers for risk management if the bull case doesn’t work out).

So it’s a very interesting chart from a market analysis standpoint, but also for the potential upside opportunities unfolding right now.

Bottom line: the weak spots are no longer getting weaker (and if anything, are actually starting to look bullish).

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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Software stocks rebound off of clearly defined support levels (and p.s. those support levels also serve as useful triggers for risk management if the bull case doesn’t work out).</p>\n<p style=\"text-align: start;\">So it’s a very interesting chart from a market analysis standpoint, but also for the potential upside opportunities unfolding right now.</p>\n<p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dc1ba2cbe10f00397b216383a1d81c5a\" tg-width=\"1140\" tg-height=\"777\"></p>\n<p style=\"text-align: start;\"><strong>Bottom line:</strong> the weak spots are no longer getting weaker (and if anything, are actually starting to look bullish).</p></body></html>","htmlText":"<html><head></head><body><p>This chart tracks what have been <strong>two of the biggest weak spots</strong> in markets.</p>\n<p style=\"text-align: start;\">(and is interesting for <strong>2</strong> key reasons)</p>\n<p style=\"text-align: start;\"><strong>First:</strong> both Bitcoin and Software stocks have stopped going down (and actually are starting to look very promising from a technical standpoint)</p>\n<p style=\"text-align: start;\">— i.e. the weak spots are no longer getting weaker.</p>\n<p style=\"text-align: start;\">That’s important because in markets weakness has a habit of spreading.</p>\n<p style=\"text-align: start;\">But also, further <strong>upside</strong> in these two (which is looking likely) will help rebuild sentiment and reinforce the bullish outlook for stocks in general.</p>\n<p style=\"text-align: start;\">Which brings me to the second point…</p>\n<p style=\"text-align: start;\"><strong>Second:</strong> both boast a bullish tactical outlook (as I just outlined in my latest Weekly Macro Themes <strong>report</strong>)</p>\n<p style=\"text-align: start;\">Basically, we’ve seen a <strong>major reset in price</strong> (software down more than -35%, bitcoin off almost -50%) and a big washout in sentiment/positioning.</p>\n<p style=\"text-align: start;\">And yet, the longer-term uptrend remains intact for both assets.</p>\n<p style=\"text-align: start;\">We’ve also seen both Bitcoin &amp; Software stocks rebound off of clearly defined support levels (and p.s. those support levels also serve as useful triggers for risk management if the bull case doesn’t work out).</p>\n<p style=\"text-align: start;\">So it’s a very interesting chart from a market analysis standpoint, but also for the potential upside opportunities unfolding right now.</p>\n<p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dc1ba2cbe10f00397b216383a1d81c5a\" tg-width=\"1140\" tg-height=\"777\"></p>\n<p style=\"text-align: start;\"><strong>Bottom line:</strong> the weak spots are no longer getting weaker (and if anything, are actually starting to look bullish).</p></body></html>","text":"This chart tracks what have been two of the biggest weak spots in markets. (and is interesting for 2 key reasons) First: both Bitcoin and Software stocks have stopped going down (and actually are starting to look very promising from a technical standpoint) — i.e. the weak spots are no longer getting weaker. That’s important because in markets weakness has a habit of spreading. But also, further upside in these two (which is looking likely) will help rebuild sentiment and reinforce the bullish outlook for stocks in general. Which brings me to the second point… Second: both boast a bullish tactical outlook (as I just outlined in my latest Weekly Macro Themes report) Basically, we’ve seen a major reset in price (software down more than -35%, bitcoin off almost -50%) and a big washout in sentiment/positioning. And yet, the longer-term uptrend remains intact for both assets. We’ve also seen both Bitcoin & Software stocks rebound off of clearly defined support levels (and p.s. those support levels also serve as useful triggers for risk management if the bull case doesn’t work out). So it’s a very interesting chart from a market analysis standpoint, but also for the potential upside opportunities unfolding right now. 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