Good evening,
As we look into the weekend, BTC is still within its medium-term uptrend. We had a nice buy at the 6800 level, where there was strong support established from the previous resistance breakout in addition to the bottom line of the ascending channel. It seems to be holding this, so I will be looking to take some profits at the 7400 level with a stop-loss at the 6600 level, giving me a nice 3-1 profit/risk ratio.
From there, it gets tricky. We must keep in mind that we are still in a long-term down market, and on the precipice of global financial disaster due to the COVID-19 pandemic. As we get closer and closer to the price level we were at before the March crash, we risk getting caught in that immense selling pressure which could come at any time. I would consider buying back in at the 7600 level if I see strong volume signals. If the momentum is not there, it may not be worth the risk. The resistance in the 8000s will be absolutely immense.
Good luck.
As we look into the weekend, BTC is still within its medium-term uptrend. We had a nice buy at the 6800 level, where there was strong support established from the previous resistance breakout in addition to the bottom line of the ascending channel. It seems to be holding this, so I will be looking to take some profits at the 7400 level with a stop-loss at the 6600 level, giving me a nice 3-1 profit/risk ratio.
From there, it gets tricky. We must keep in mind that we are still in a long-term down market, and on the precipice of global financial disaster due to the COVID-19 pandemic. As we get closer and closer to the price level we were at before the March crash, we risk getting caught in that immense selling pressure which could come at any time. I would consider buying back in at the 7600 level if I see strong volume signals. If the momentum is not there, it may not be worth the risk. The resistance in the 8000s will be absolutely immense.
Good luck.
