Initial Chart and Indicator Analysis
1. MACD:
• The DIF line is crossing the DEA line upwards, which may signal the beginning of buying strength, but the value is close to zero, suggesting that the uptrend is still weak.
• The histogram is decreasing, which indicates a loss of momentum.
2. RSI (Relative Strength Index):
• RSI(12): 64.18 – Indicates neutral-bullish zone, not yet overbought.
• RSI(24): 60.98 – Confirmation of buying strength, but without exaggeration.
3. Stochastic:
• Stoch RSI shows signs of exhaustion (K line below D line), which may indicate a short-term correction.
4. Parabolic SAR:
• SAR dots are below the price, which indicates an uptrend.
5. Volumes:
• Trading volume is increasing, confirming interest in the asset.
6. Price and Moving Averages (MAs):
• Price is above the short-term moving averages (20, 50, 100), indicating an uptrend.
• The moving averages are also crossing upwards (bullish pattern).
Entry Strategy
• Entry point:
• Wait for a pullback to a nearby support zone, such as the region between 2.4288 (SAR) and 2.4031 (24h low), confirming an upward reversal with increasing volume and stochastic indicators showing strength.
• Conservative: If the price pulls back to the MA(20) at 2.3937 and shows a reaction, this region will be ideal for buying.
Exit Strategies
1. Short Term Target (Take Profit):
• First target at 2.5090 (24h high).
• If broken, the next resistance is around 2.5500 to 2.6000 (based on trend extension).
2. Stop Loss:
• Set the stop below the MA(20) at 2.3800 to protect against unexpected reversals.
Other Considerations
• Breakout Confirmation: If the price breaks above the high of 2.5090, it will be an additional bullish signal. Observe if the volume follows the movement.
• Pay attention to the RSI: If the RSI exceeds 70, it may indicate overbought and suggest future corrections.
• Stochastic RSI: Wait for upward crossovers (K line crossing D line upwards) to signal new entries.
This strategy is short-term and can be adjusted based on the volatility of the asset.
#CryptoReboundStrategy #BitcoinHashRateSurge #BinanceAlphaAlert