Bitcoin, the largest cryptocurrency on the market, is currently trading at around $97,764. Let’s take a look at the current scenario and come up with some strategies to take advantage of this movement.
Current Technical Analysis
1. Support and Resistance:
Major Support: $95,000, an important point that, if held, could prevent further declines.
Immediate Resistance: $100,000, the next hurdle to overcome to confirm an uptrend.
2. Trend:
On the daily chart, BTC is testing the 21-period Exponential Moving Average (EMA 21). If it manages to consolidate above this level, it could indicate buying strength.
On the weekly chart, there is a possible “ascending triangle” pattern forming, which suggests a chance for an upward breakout.
3. Indicators:
Relative Strength Index (RSI): Above 50, showing strength from buyers but approaching the overbought zone.
Volume: Slight decline, indicating some indecision in the market.
Profit Strategies
1. Short Term (Swing Trade):
Entry: $98,500 (after confirmation of breakout with volume).
Target: $102,000.
Stop Loss: US$ 97.000.
2. Medium Term (Position Trade):
Entry: If BTC pulls back, consider entry near $96,000 (near support).
Target 1: $105,000.
Target 2: $110,000.
Stop Loss: US$ 94.500.
3. Long Term (Hold):
Implement a Dollar Cost Averaging (DCA) strategy, i.e. purchasing fixed quantities at regular intervals.
Gradually accumulate while BTC is below $100,000, targeting the expected appreciation after the 2024 halving.
Risk Management
Do not invest more than 5% of your total capital in BTC.
Always use stop-loss orders to limit possible losses.
Stay alert to global events, such as US monetary policies and geopolitical developments, that may impact the cryptocurrency market.
Conclusion
Bitcoin presents interesting opportunities for both traders and long-term investors, especially as the 2024 halving approaches. Keep an eye on the key levels mentioned and practice disciplined risk management to maximize your gains.
So, are you ready to take advantage of this opportunity? 🚀
