Bitcoin / TetherUpdated BTC Crucial Zone
Bitcoin has been consolidating and trading sideways for the last few months creating a fixed value range between approx 71k and 63k with a range POC around $67,500.
I am looking at 2 potential trade scenarios for the upcoming week for both bearish and bullish cases.
As we are currently at a crucial level bouncing off the VAL at $63,300, I would like to see if the bulls can change the trajectory of the current downtrend by first reclaiming the next psychological price of
65K and pushing into the range POC between $67,500-68k. This price range is probably the most important upcoming as Bitcoin would need to find support above the POC to bring prices higher. If not, a rejection at the POC would be a good short signal for lower continuation of the current downtrend back into the 50k S/R flip, which also constitutes a massive fair value gap.
Given that Bitcoin is now influenced by the moves in other major markets, it's probable that we will follow the trend on the ES and NQ which are currently moving higher due to low levels of liquidity and volume. However, these situations can turn around very quickly if volume begins to pick up, or major profit taking commences as the SPY has just hit 550; a level many economists have been predicting as the end of year price point.
Only time will tell!
I am looking at 2 potential trade scenarios for the upcoming week for both bearish and bullish cases.
As we are currently at a crucial level bouncing off the VAL at $63,300, I would like to see if the bulls can change the trajectory of the current downtrend by first reclaiming the next psychological price of
65K and pushing into the range POC between $67,500-68k. This price range is probably the most important upcoming as Bitcoin would need to find support above the POC to bring prices higher. If not, a rejection at the POC would be a good short signal for lower continuation of the current downtrend back into the 50k S/R flip, which also constitutes a massive fair value gap. Given that Bitcoin is now influenced by the moves in other major markets, it's probable that we will follow the trend on the ES and NQ which are currently moving higher due to low levels of liquidity and volume. However, these situations can turn around very quickly if volume begins to pick up, or major profit taking commences as the SPY has just hit 550; a level many economists have been predicting as the end of year price point.
Only time will tell!
Note
Breaking down below the Value Area LowNote
Looking for potential long trades at the low of this range of 60k. Looking for short trades at the Value Area Low as a rejection, or at the POC above as a turning point for much lower prices towards 50k.
Trade active
Long trade activated with a break of 60k. Note
Potential Seller failure trap at the low. Note
Looks pretty good, a break below this low here just above 58k I would be out of this trade. Note
I believe we might be at the bottom here, will be looking for one last drop here towards the S/R flip around 52k.
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