Bitcoin has been consolidating within a range for some time, and might have the potential to make a significant move to the upside based on its price action and technical analysis. This idea is based on trend-based Fibonacci retracement and regression trend analysis of the BTC/USD chart, using the daily timeframe.
Chart Setup and Key Levels:
To begin with, let's look at the key levels and areas of interest on the BTC chart to define potential trading opportunities. Here are some of the levels to watch:
- Support levels: 29,000, 27,000, 25,000, 22,000
- Resistance levels: 35,000, 38,000, 42,000, 50,000
- Trend lines and regression trendlines indicating support and resistance levels
Regression trend analysis can also provide additional insights into the current market dynamics and potential support and resistance levels.
If BTC can break through resistance and hold above it, the next Fibonacci level or regression trendline would provide potential areas of interest for a profit-taking level. The risk-reward ratio for this trade could be 1:2 or better, depending on the exact entry and exit points.
Chart Setup and Key Levels:
To begin with, let's look at the key levels and areas of interest on the BTC chart to define potential trading opportunities. Here are some of the levels to watch:
- Support levels: 29,000, 27,000, 25,000, 22,000
- Resistance levels: 35,000, 38,000, 42,000, 50,000
- Trend lines and regression trendlines indicating support and resistance levels
Regression trend analysis can also provide additional insights into the current market dynamics and potential support and resistance levels.
If BTC can break through resistance and hold above it, the next Fibonacci level or regression trendline would provide potential areas of interest for a profit-taking level. The risk-reward ratio for this trade could be 1:2 or better, depending on the exact entry and exit points.