Hello guys welcome to this quick update. I hope you read my complete LONG TERM Update on BTC's price action after the halving as well as how we can have a bull Market for almost 2 years.
Let's get to this chart. In my opinion BTC is trading into channels since it broke down to mid $3850 . If we break the current channel with little consolidation we can head to firstly $8300 and after that $9063 level.
Important Note:
Since this is a giant RISING WEDGE, Break below can take us to the lower 4k to 5k Levels which is likely to happen. RISING wedge is a common bearish pattern in Classical Technical Analysis.
MY STRATEGY:
I'll Sell BTC to USDT AT TWO PRICE LEVELS: 30% at 8300ish 50% AT 9000ish
20% I'll use to buy Altcoins.
I'll have approximately an average sell price of $8600. I'll buy back at lower price points around 4k to 6k (I'll update the chart if that happens)
What if we don't break this rising wedge and continue rally to the upside? And how much do we profit from this trade?
Well for that to happen BTC has to break above the Red dotted line which is the trendline resistance since 20k level. If any DAILY CANDLE CLOSES ABOVE IT I'll buy back with merely 13% loss in my BTC stack.
If it goes successful and I buy back at 4k levels I could have 60% more BTC.
RISK REWARD RATIO: So the Risk reward ratio is almost 1:5 (13% loss Chance but 60% + Winning chance) So I'll go for it.
What's your take on this? What do you think could happen? Is this chart reasonable? Any supporting/opposing comment is welcomed. If you liked this idea please hit that Like button and support me.
BE SAFE STAY AT HOME
#Peace
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This is for short term Trade.
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Read the new update here:
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Broke the resistance and now ready for 9k.. read the next update here:
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And Finally we reached the target. Expecting a retrace around the important support 8717.