Greetings fellow Bitcoiners and traders! It's me again, your trusty pleb analyzing BTC/USD price action.
So, it seems like the bulls have hit a bit of a roadblock on their way to the moon. The $24,000 level was just too much to handle and a wave of profit booking set in. As a result, the bears have taken control and pushed the price below the immediate support at~$22,500.
Now, let's take a look at the technical indicators. The 20-day EMA is currently flat at ~$23,332, indicating that the price is not showing any clear trend. However, the Relative Strength Index (RSI) has taken a dip below 44, indicating that the short-term momentum has turned bearish.
If we continue to see selling pressure, the next important level to watch out for is $21,480. This level is expected to have strong support from buyers, as a break and close below it could potentially open the doors for a retest of the psychological level of $20,000.
On the other hand, if the price rebounds off $21,480, the bulls will try to break the overhead resistance at $22,800. If they succeed, it will suggest that BTC/USD might remain range-bound between $21,480 and $25,250 for a while.
So, what's the trading strategy here? Well, I've got some key levels to keep in mind. The $21,300-$21,600 level seems like a good entry point for long positions. However, instead of going all-in, it might be prudent to put in only 50% of the position and wait for confirmation of a reversal. Alternatively, one can also buy incrementally for any potential wicks lower.
Now, let me be clear - this strategy does not involve a stop loss. It's a bold move, but it's important to remember that stop losses can get triggered in volatile markets like Bitcoin, leading to unnecessary losses. So, be prepared to hold onto your position for a bit longer than usual and be patient for the market to turn in your favor.
So, there you have it, folks. The latest update on BTC/USD price action and a potential trading strategy to consider. Keep your eyes peeled on those key levels and happy trading!
So, it seems like the bulls have hit a bit of a roadblock on their way to the moon. The $24,000 level was just too much to handle and a wave of profit booking set in. As a result, the bears have taken control and pushed the price below the immediate support at~$22,500.
Now, let's take a look at the technical indicators. The 20-day EMA is currently flat at ~$23,332, indicating that the price is not showing any clear trend. However, the Relative Strength Index (RSI) has taken a dip below 44, indicating that the short-term momentum has turned bearish.
If we continue to see selling pressure, the next important level to watch out for is $21,480. This level is expected to have strong support from buyers, as a break and close below it could potentially open the doors for a retest of the psychological level of $20,000.
On the other hand, if the price rebounds off $21,480, the bulls will try to break the overhead resistance at $22,800. If they succeed, it will suggest that BTC/USD might remain range-bound between $21,480 and $25,250 for a while.
So, what's the trading strategy here? Well, I've got some key levels to keep in mind. The $21,300-$21,600 level seems like a good entry point for long positions. However, instead of going all-in, it might be prudent to put in only 50% of the position and wait for confirmation of a reversal. Alternatively, one can also buy incrementally for any potential wicks lower.
Now, let me be clear - this strategy does not involve a stop loss. It's a bold move, but it's important to remember that stop losses can get triggered in volatile markets like Bitcoin, leading to unnecessary losses. So, be prepared to hold onto your position for a bit longer than usual and be patient for the market to turn in your favor.
So, there you have it, folks. The latest update on BTC/USD price action and a potential trading strategy to consider. Keep your eyes peeled on those key levels and happy trading!
