BTCUSD / BTC Likes Fib Levels and Prior Highs. HISTORY ANALYSIS
Updated
I went back and analyzed prior bull runs, looking specifically at Fibonacci retracement levels and other confluence areas. Bitcoin loves to reverse in "The Box," on prior highs, and on trend lines. The box consists of the 50%, 61.8% and 76.4% fib levels. One thing to note is that 50% is not an actual Fib level rather a traditional level that has evolved with-in Fib retracement analysis. These areas together build a nice case for a reversal and a place to look for capitulation bounces, reversals, and cheap coins. Always wait for a signal and don't FOMO your trade. Looking at current price structure and action; if price breaks through the long term trend line there is the potential for a large capitulation play. A nice target area is around the next Fib retracement zone. This would be a good area to stack limit orders to buy. Be patient and always stick to your plan; as long as your plan has a plan B!
-Jared
-Jared
Trade closed: target reached
Kudos. Good Setup and trade. On to the next setup.
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