We're looking for good entries for long positions on Bitcoin. We'll use a Fibonacci retracement to look for key levels where it's likely to reverse and continue the longer term bullish trend. Other fundamental news has caused a medium term break in the trend from the previous $3000 low. We use the run from 3000 to 7900 as the basis for the fibonacci levels. The chart also shows the previous sell-off reversing at exactly the 61.8% level of $3000.
We can enter longs on a strong bounce off of the 38.2% level of $6017. If it continues lower from there, we will look for the full 61.8% retracement to the $4855 level. It's best to place orders slightly above these levels in case momentum shifts very quickly because there will almost certainly be many buyers lurking around these levels.
If you're a longer term trader or investor, you can place limit orders slightly above all of the fib levels to scale in long positions if you're bullish on Bitcoin.
We can enter longs on a strong bounce off of the 38.2% level of $6017. If it continues lower from there, we will look for the full 61.8% retracement to the $4855 level. It's best to place orders slightly above these levels in case momentum shifts very quickly because there will almost certainly be many buyers lurking around these levels.
If you're a longer term trader or investor, you can place limit orders slightly above all of the fib levels to scale in long positions if you're bullish on Bitcoin.