Is Bitcoin due for a short-term breather?
After a significant rally in November, Bitcoin is now facing resistance at its all-time high. The RSI indicator is also in overbought territory, suggesting a potential correction.
What to Watch For:
* Potential Correction: A pullback to the 73,000-74,000 level could provide a healthy consolidation phase before the next upward move.
* Breakout: If Bitcoin successfully breaks above its all-time high, it could signal a continuation of the strong bullish trend.
What Should You Do?
* Risk Management: If you're holding a long position, consider tightening your stop-loss order or taking partial profits.
* Patient Approach: Wait for a potential dip to buy at a more favorable entry point.
* Diversify: Diversify your portfolio to reduce risk.
Remember, the crypto market is highly volatile, and it's essential to conduct thorough research and implement sound risk management strategies.