Gaps are formed as the CME futures dont trade on weekends, so if price moves on spot exchanges on weekends their will be a gap in the CME futures chart (ticker BTC1!). And today we filled our gap at 11,7k, we have one more at 9,7k as mentioned. (and a discussed mini gap at 7,6k in 4hr timeframe) As i have learned 99,9% of gaps usually gets filled. You can check all gaps on the chart and see that they have been filled rather sooner than laiter. The most funny gap where one at 14k from 2018 bearmarket that got filled on our runup to 14k in 2019..
You are viewing a single comment's thread from:
okay this is really intersting. Do you know anything more about why these gaps should get filled. Is it just something that people have become aware of over time or is there any mechanic that could explain this tendency? It seems totally bizarre to me that these gaps should have any predictive power. Thanks for the clarification btw.!
I have no idea, many conspiracy theories of why, for example large orders from market makers that didn't get filled and they will manipulate price on their behalf who knows. We also have a gap at 3,5k from our bullrun in 2019 that it seem everyone have forgotten about, so who knows maybe it will be filled at some point since their are no more gaps over us, we filled our 11,8k gap from our dump in 2019 now.. I have always paid attention to the gaps as they work as a magnet for price. Check out this article and let me know what you think.
https://medium.com/in-bitcoin-we-trust/bitcoin-cme-gaps-explained-what-they-are-and-what-they-foresee-ea2727ccb76f