As shown in my previous idea, BTC/USD has tagged a very important level - 9200. This was both a monthly and weekly level that has now become resistance. We have seen a strong rejection of this level as expected. Hopefully many of you took profits in this range on your longs and hedged with positions in shorts.
What I now expect is BTC to test the level that took us up to this range - 8300. This is currently untested. I we hold this range then I see a swift move to the upside. If this breaks the next level is 7600-7300 range. This to me is the most important level. It took BTC into a reversal but has not been tested as support. BTC must hold this level in order for the continuation. If held then we can see a very strong move to the upside.
In my gut im thinking that we will continue to the downside as we have been in a bear market for a few years now, and we still have many lower ranges that need to be tested by BTC, such as 4200.
Remember, always hedge your trades. Have longs from the bottom ranges and shorts from the top ranges. This way you wont be setting trades based on emotion. If BTC goes up or down you will stop profit. And never risk more than 1-2% of your capital on a trade.
Best of luck trading!
What I now expect is BTC to test the level that took us up to this range - 8300. This is currently untested. I we hold this range then I see a swift move to the upside. If this breaks the next level is 7600-7300 range. This to me is the most important level. It took BTC into a reversal but has not been tested as support. BTC must hold this level in order for the continuation. If held then we can see a very strong move to the upside.
In my gut im thinking that we will continue to the downside as we have been in a bear market for a few years now, and we still have many lower ranges that need to be tested by BTC, such as 4200.
Remember, always hedge your trades. Have longs from the bottom ranges and shorts from the top ranges. This way you wont be setting trades based on emotion. If BTC goes up or down you will stop profit. And never risk more than 1-2% of your capital on a trade.
Best of luck trading!