The BitShares/Bitcoin pair (BTS/BTC) started to show signs of bullishness in past April. With a bottom in place, buyers began to enter the buying scene. This started a strong rally from 0.00001782 to 0.00004438, on April 30. While the market has been retracing since then, this time could be a chance to buy the possible higher low.
BTS/BTC dropped to 0.00002479 on May 24 and that was where bulls came to the marketplace. Their presence inspired a bounce to 0.00003817 on June 3. While the pair is currently correcting, this can be an opportunity to buy the confirmation of the support.
BTS retraced to the 78% Fibonacci level, also near the lower Bollinger Band, at 2350 sat. Yesterday it closed above that level and currently is aiming the purple moving average at 2587.
The strategy is to trade the retest, or, to buy the confirmation of support as close to 0.00002300 as possible.
A retest refers to prices reversing direction after a break and returning to the breakout level to see if it will hold. In the case of a break to the upside, for example, after the initial wave of buying has run its course, prices may stall and trigger very short-term profit-taking selling. The tendency is for prices to return to the breakout level, which should now act as support and attract buying interest.
If bulls can stay above this level, they may gather the momentum needed to climb to the next Fib level at 2797 satoshis.
This idea can be invalidated if BTC trades below the 6200-6300 range.
BTS/BTC dropped to 0.00002479 on May 24 and that was where bulls came to the marketplace. Their presence inspired a bounce to 0.00003817 on June 3. While the pair is currently correcting, this can be an opportunity to buy the confirmation of the support.
BTS retraced to the 78% Fibonacci level, also near the lower Bollinger Band, at 2350 sat. Yesterday it closed above that level and currently is aiming the purple moving average at 2587.
The strategy is to trade the retest, or, to buy the confirmation of support as close to 0.00002300 as possible.
A retest refers to prices reversing direction after a break and returning to the breakout level to see if it will hold. In the case of a break to the upside, for example, after the initial wave of buying has run its course, prices may stall and trigger very short-term profit-taking selling. The tendency is for prices to return to the breakout level, which should now act as support and attract buying interest.
If bulls can stay above this level, they may gather the momentum needed to climb to the next Fib level at 2797 satoshis.
This idea can be invalidated if BTC trades below the 6200-6300 range.