BTCUSD: Rally Back to 116000 Resistance

Sep 22

Hello everyone, here is my breakdown of the current Bitcoin setup.

Market Analysis

The market for Bitcoin has seen a structural shift after breaking down from its prior Upward Channel. This event signaled a loss of bullish momentum and led to a sharp decline down to the major horizontal Support at the 112000 level.

Currently, the price has found significant support in the 111500 - 112000 Support zone and has initiated a bounce. The market is now in a potential reversal phase, but I believe the conviction of the buyers still needs to be confirmed with one final test.

My Scenario & Strategy

My scenario is built on the idea that the 112000 Support is a major area of demand that will ultimately hold. I'm looking for a strong and confirmed bounce from Support zone. This would be the key signal that the corrective low is in place and the market is ready to reverse its course and begin a new rally.

Therefore, the strategy is to watch for this successful retest. It would validate the long scenario, with the price then expected to rally back up to the point of the initial breakdown. The primary target for this move is the 116000 Resistance level, which also aligns with the Resistance Zone.

That's the setup I'm tracking. Thank you for your attention, and always manage your risk.

Sep 23

Trade active

Update:
- price declined to the support zone and then turned around;
- then the price started to grow

So, I think BTC can continue to move up and reach the resistance level.

Sep 24

Trade closed manually

Bitcoin continues to trade near support level, hasn't risen. So, I think it can fall more, so I closed this trade.