BTCUSDT - Descending wedge - being long ?
Updated
Trend context (in daily)
From March 12th, the RSI is rising, going from the sellers (< 45) to the neutral zone (45-55).
It’s probably gonna keep fighting and even coming back a bit in the sellers zone.
But I think we are in a short term bull market so I would expect the price to rise soon.
Technical analysis (in 4h)
In my last analysis I have detected a rising wedge.
I detect now a descending wedge that acts as a consolidation of the past upward trend.
There are 2 options (both scenarii are possible because Bollinger bands are horizontal, the spread is quite large. It means volatility is stable now but we can expect a big move):
- The partial decline (from March 30th 9pm to April 1st 5pm) indicates an impending upward breakout and we will enter in position in the 1st possible buy area.
- The partial decline is irrelevant, and we can wait for the price to reach deeper levels like 50% / 61.8% of fibonacci and we will enter in position in the 2nd possible buy area.
For now I will set a long (1st possible buy area):
Entry price: $6510
Stop loss: $6293.14
Final take profit: $7817.21 (which is a major resistance)
PS: if the price of BTC is getting closer from the lower trend line, I will set a short.
From March 12th, the RSI is rising, going from the sellers (< 45) to the neutral zone (45-55).
It’s probably gonna keep fighting and even coming back a bit in the sellers zone.
But I think we are in a short term bull market so I would expect the price to rise soon.
Technical analysis (in 4h)
In my last analysis I have detected a rising wedge.
I detect now a descending wedge that acts as a consolidation of the past upward trend.
There are 2 options (both scenarii are possible because Bollinger bands are horizontal, the spread is quite large. It means volatility is stable now but we can expect a big move):
- The partial decline (from March 30th 9pm to April 1st 5pm) indicates an impending upward breakout and we will enter in position in the 1st possible buy area.
- The partial decline is irrelevant, and we can wait for the price to reach deeper levels like 50% / 61.8% of fibonacci and we will enter in position in the 2nd possible buy area.
For now I will set a long (1st possible buy area):
Entry price: $6510
Stop loss: $6293.14
Final take profit: $7817.21 (which is a major resistance)
PS: if the price of BTC is getting closer from the lower trend line, I will set a short.
Trade active
Buy price filled $6510Stop loss: $6293.14
First take profit TP1: $6709
Note
First Take Profit taken: target $6709 (taking back 25% of capital)New Stop Loss for hedging position: $6443.7
Next Take Profit target: $6934
(if price reaches $6443.7, we sell everything and don't lose any capital invested in this trade)
Note
Second Take Profit taken: target $6934 (taking back 25% of capital)New Stop Loss: $6709
Next Take Profit target: $7383
Trade closed: stop reached
New Stop Loss reached $6709Total performance +3,9%
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