goldbug1

Bitcoin - Still Consolidating - Trade Idea

Long
COINBASE:BTCUSD   Bitcoin
As Bitcoin continues to consolidate before the anticipated next swing higher, there are some levels of interest and a proposed trade idea.

Bitcoin is appearing to range between 60 and 70k over the past couple of months. Buyers are stepping in at the lower range and selling into the upper.

If 60k is taken out, I would expect a quick pullback into the 50-55k range as stops are triggered.

If 70k is taken out, I would expect a quick rally towards 90k.

Now taken out implies not just tapping the level, that we either move straight through or over a period of a few days consolidate at that level before making the move through.

This brings up a simple range trade. So look to buy just under 60k with a stop around 55-56k depenending on how the market goes. DO NOT just place a buy order in there, it can quickly blow straight through in this environment.

Target would be 68-72k providing a 2:1 reward risk model which is the minimum for any trade.

If we do take out that 60k level and push into the mid to low 50's, thats where I am a buyer and will add to my position.

Good luck and be patient!!!!!

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