Bitcoin (BTC/XBT) Daily Long&Short Trade Setups 2021/02/01

Feb 1, 2021

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Market Overview

• Price Action: Bitcoin dropped 16.5% from a high of $38.5K to a low of $32.2K, and is now testing the 200MAs. Let's see if we get a short signal or if we break above to regain bullish momentum.
  
• Patterns: There is a narrow descending channel.
  
• Areas of Interest: The area(s) of interest for us are the 200MAs @ $33.4-33.7K. Once price reaches one of our areas of interest and gives us a valid entry signal, I will update the trade, so make sure you follow me to get the trade entry signals in real time.
  

Trade Setups
Below are the potential trade setups that I would be interested in trading. Once price reaches one of these zones, I will monitor closely and post a trade signal if we get a high probability trade setup.

Short Trade Setup #1: Retest and Continuation (200MAs)
1. Price Action: Price needs to move back up to the 200MAs, currently projected to be @ $33.4-33.7K by the time price reaches it, and bounce back down.
2. Trade Entry Confirmations: Bearish candlestick pattern, above average volume, MACD topping out

If price breaks above the 200MAs, will be looking at the top of the channel and the 61.8Fib for potential trade setups.

Trade Recap

• 2021/ 01 /31: We had a winning trade! We entered long @ $33654 SL @ $33292, price reached a high of $34220, giving us a risk reward ratio of 1.6:1, meaning if you risked 1BTC on this trade, you could've made 1.6BTC.

  
• 2021/ 01 /29: We had a winning trade! We entered short @ $37.2K SL @ $38150, price reached a low of $33500, giving us a risk reward ratio of 3.9:1, meaning if you risked 1BTC on this trade, you could've made 3.9BTC.

  
• 2021/ 01 /28: We had a losing trade! We entered short @ $31100 SL @ $31427, and we hit stop loss.

  

About Me

• I started trading in 2008, first got introduced to bitcoin in 2009, and have been actively trading cryptocurrencies since 2016.
  
• I have worked on Wall Street trading bonds, stocks, and options.
  
• I have worked at top consulting firms advising Fortune 500 companies and worked on $10Billion+ deals.
  
• I have founded and advised blockchain projects and companies, including in the areas of defi, nft, data ownership, and personal identity.
  
• I have taken hundreds of live trades, each recorded with over 50 data points, all meticulously analyzed, using data analysis and modeling to optimize win probability and risk reward.
  

Why Follow Me

• Daily analysis on the latest market movements and price zones for high probability trade setups.
  
• Live trade signals so that you can take the same trades that I am taking.
  
• A great place to help each other, learn from each other, and grow together.
  
• Trading education in the form of personal advice and educational materials
  
• Constantly testing and adding new trading strategies and refining battle-tested ones.
  

DISCLAIMER: I'M NOT A FINANCIAL ADVISOR AND THIS IS NOT FINANCIAL ADVICE, AND I WILL NOT BE RESPONSIBLE FOR YOUR WINS OR LOSSES, DYOR.

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Feb 1, 2021

Note

If we close strongly below 33.4K along with the confirmations, we will have a short entry.

Feb 1, 2021

Note

#BTC20210201 market very undecided right now, hugging to the 200MAs, not breaking to either side and no volume. The longer this continues, the stronger the move once we get out of it. Be careful and don’t trade the chop. And have stop loss in case you’re wrong.

Feb 1, 2021

Note

#btc202101201 eyeing the 61.8fib and 200MAs (the two green boxes) for potential trade setup: