WILL BUY THE DIP SUPPORT BULLS & CAN BTC RECOVER TO 71K ?

Jul 9

Earlier I discussed about double top pattern in making & captured the great free fall of more than 7,000 points.

Now, Bitcoin can be seen taking support at important levels. Bitcoin is experiencing times of high fear, high volatility and negative sentiment among the traders. From a psychological point of view, this could end in a bullish momentum as I have seen in the past that such high volatility usually lead to trend reversal.

For now, big buyers are actively holding back a possible fall amid transfers of the previously hacked crypto exchange to its debtors and BTC sell-offs by German authorities.

In April, the average cost of BTC mining among the largest public miners was $53,000, technically, the level of average cost of BTC mining plays the role of an intermediate bottom.

Judging by the growth of volumes and price entry into the area of the lower boundary of the "Flag or Megaphone" pattern, buyers appear on the market and at the moment stop the price fall, forming a sideways range of 53500-58500.

Accordingly, a breakdown of one of the boundaries may trigger an impulse to one side or the other, based on the technical nuances there is a probability that there will be an attempt to break the resistance.

Fundamentally, the environment is difficult due to news flow, but investors are waiting for the approval of ETH-ETF, which may bring back the bullish mood to the market (indirect impact on BTC). Technically, the emphasis is on the range. A break of 58500 will give bullish momentum, a break of 53500 may allow the price to decline to the 50500-51000 risk zone

We can only analyze and make a trading decision but only the time will tell whether is it headed to 71K or below 50K.

Jul 11

Note

BTCUSD returned to growth early Wednesday, gaining 10% in three days.

On Tuesday, U.S. Federal Reserve Chairman Jay Powell gave a lighthearted speech to Congress. He noted that keeping interest rates higher could hurt economic growth. And while Fed officials are interested in lowering rates, they need "more good data," i.e. lower inflation. Lower interest rates are usually favorable for risky assets

According to analysts, bitcoin's rise was likely due to Powell's lukewarm comments about lower rates. Nevertheless, the $60,000 mark is still far from the cryptocurrency's all-time record of over $73,000. Going forward, crypto traders are keeping an eye on the latest inflation data due out on Thursday. Consumer prices in America are projected to continue to decline in June. Economists expect inflation to rise 3.1 percent, down from May's 3.3 percent.

Jul 15

Trade active

CMP 62600

It is up 6400 points since I posted this idea. BTC has taken support and reversed from important levels & now showing good strength. I'm holding my long positions with trailing SL.

Jul 17

Trade active

CMP 66100

It's up 11200 points since I posted my idea.

I recently discussed bitcoin and I did a review and recommendations for further trading. As I said, high levels of fear lead to predictable reactions.
As bitcoin fell, the crowd increasingly panicked and changed positions from buying to selling, which was a fatal mistake.

An intermediate bottom and a strong buyer formed on the chart, bringing the price to 66K in a matter of days.

Jul 22

Trade active

Flag, if we consider a local structure. A Flag & pole is in the last stage of its formation before realization. The key focus here is on the flag itself, whose role is consolidation before realization (distribution).

Jul 24

Trade closed: target reached

CMP 67500

It has already gone till 68500 from 55000 levels where I shared my trading idea.

Overall BTCUSD looks very good, but it is moving tediously right now due to some kind of expectations.
1) It could be a psychological stop after the introduction of ETH-ETF. When BTC-ETF was introduced, the market fell first before rallying.
2) It could be a stop before the news. On July 27, cryptocurrency conference, where Trump will speak, where Harris will also speak
In general, the fundamental component is energizing the market right now, and the technical component is of a mediocre nature, which is looked at by MMs, Whales, and so on

I have highlighted several scenarios on the chart, as nothing can be said clearly right now. There is a strong resistance zone ahead and it will be tested soon, but this zone can affect the price in many ways, therefore, until we reach it I can't say anything prematurely, as it will not be an analysis, but a guessing game. Right now: bitcoin is bullish and there are no bearish preconditions.

P.S. : I have booked my long position today. I will enter again at lower levels or 70-72K resistance break.