Bitcoin fails again at $3k. This might be a big deal.

Bitcoin has failed again to clock the $3k level. This is the second major run at this level. There is no psychology involved as the currency has never been here before. It is just another level. But, this may be something that pushes the currency lower if too many individuals throw in the towel. I can see a test of $2k. I am out and I am going to wait this move to see if buyers start showing up again.

However, I see this move lower as being short term. Even if Bitcoin falls from here, eventually there will be another surge higher. My thinking is that with the economy slowing there may be a surge for the crypto-currency at some point. The very first time there is a sharp selloff in the major stock markets individuals will push into BTC.

I am still bullish on BTC for the long haul. However, this particular move lower just feels like it has potential to move sharply lower. But, I have said that before and missed that.

Komen:

Looking to go short on BTC with an options position to keep my position protected. Likely to buy naked puts.