What awaits us after the sharp drop in $BTC and how did I position myself?
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With the breakdown of the $60,000 support, the decline deepened in the morning hours today and fell sharply to $56,000.
The $56,600 level has worked as a great support at the moment, but it doesn't mean that the fall is over yet.
The Fed's rate decision will be announced today and how the market reacts to it is really important. If the rate decision is higher than the markets expect, it means that the decline will be even steeper.
If there is a daily close below $56,600, we could see a decline down to $53,000 because there is no support between the two levels.
The price is currently 3% below the lower level of the Bollinger Bands according to the daily chart. Historically, when the price is below the Bollinger Bands on the daily chart, we have seen a rebound immediately afterwards. So, while I don't think we will see new highs again, I think we may see a short-term rise.
I think that I will see +$60,000 levels again in a short period of time and that is why I am closing my short positions and adding to my long positions. However, these long positions will definitely be short term and will be a preparation for new short positions.
As I said before, I expect volume to decline and the price to move more sideways in May and throughout Q2. A move in the $56,000-$60,000 range will frustrate and put most traders out of the game. At this point, the important thing is not to be out of the game and to maintain your positions within the framework of your strategy.
I opened a $ETH long position at $2,860 this morning and I think I will close this position at +$3,000. If there is negative news before this pricing, I will accept the situation and make a stop loss.
Remember, no one can see the future, only predict it. The positions taken depend on one's own risk appetite and financial situation. Always build your own plan!
post from @fulldeg #bitcoinhalving #bitcoin #Memecoins
