Hello cryptocurrency enthusiast community đ
The market is cyclical. Experiencing ups and downs is not uncommon#Bitcoinhas been trading sideways around $64,000 over the past 4 days. Coinbase made significant spot purchases from $54,000, but has stopped in the past two days and made small purchases.#Binanceis also trading sideways. Despite the sideways movement, volume and RSI are decreasing, suggesting we should be cautious.
If the recent price rally is not a dead cat bounce and the uptrend continues, a break of the RSI trend could provide an opportunity to get back into a good position. In February, $BTC traded sideways around $52k for two weeks before surging 40% to $74,000, a level we captured thanks to the RSI breakout.
If the uptrend continues, closely watching for an RSI trend break can help us open new trades. As I mentioned on Wednesday, if this rise is a dead cat bounce and is followed by a pullback, we can exit current positions with profits and stop losses on entry to avoid losses.
With a sound game plan and proper risk management, we can profit in both situations. Hope this clarifies the current situation. Wishing everyone a great day and profitable trading.
