Bitcoin on the Path to Unprecedented Success. Trade plan!

13 нояб.

Technical Analysis for Bitcoin (BTC/USD)

Chart Observations
Falling Wedge Pattern:

A bullish reversal pattern is forming, indicating potential upward momentum if the price breaks above the resistance trendline.
Breakout scenarios typically target the previous high or a significant resistance level.

Support and Resistance Zones:

Resistance Zone: Around $91,000-$92,000, visible as the upper orange zone.
Support Zone: Around $78,000-$79,000, visible as the lower orange zone.

Indicators:

RSI (Relative Strength Index): Currently at 38.08, showing oversold conditions and a potential for upward momentum.

Stochastic Oscillator: Indicates bullish divergence with oversold conditions, suggesting a potential upward price movement.

HMA (Hull Moving Average): Neutral to slightly bullish, sitting at 53.63.

Money Flow Index (MFI): Showing outflows (red), indicating possible selling pressure.

Volume:

Relatively low, suggesting a lack of conviction in either direction. A breakout accompanied by high volume will confirm the next major move.

Divergences:

Visible bullish divergences on the VMC Cipher B suggest a potential reversal if the falling wedge resistance is broken.

Trading Plan

Scenario 1: Bullish Breakout
Trigger: Break and close above the falling wedge resistance with strong volume confirmation.
Entry: Place a long position at $86,500-$87,000.

Targets:
First Target: $90,000 (conservative).
Second Target: $92,000 (major resistance zone).
Stop Loss: Below the wedge breakout level at $84,500.
Risk-Reward Ratio: Aim for 3:1.

Scenario 2: Bearish Breakdown
Trigger: Break and close below the wedge support with strong volume.
Entry: Place a short position at $84,000-$83,500.
Targets:
First Target: $80,000 (conservative).
Second Target: $78,000 (lower support zone).
Stop Loss: Above the wedge support at $86,000.
Risk-Reward Ratio: Aim for 3:1.

Risk Management
Allocate 1-2% of your portfolio per trade.
Monitor key levels and indicators, particularly volume spikes, RSI, and stochastic trends.
Keep an eye on macro news and Bitcoin-related announcements that could influence market sentiment.

If the price remains range-bound within the wedge, avoid over-trading and wait for a breakout confirmation.
Ensure all trades are backed by stop-loss orders to manage potential losses effectively.