BTC pullback to 39k
Updated
BTC has hit expected resistance around 47k from the PoC of the volume profile of the drawdown since the ATH to the Jan. 24 low of 33k. If BTC breaks the recent retest of the 55D HMA it will increase the probability of at least retesting 39k. The BBWP indicator below confirmed the end of the recent uptrend, suggesting BTC will at least consolidate for a while
I have doubt that we'll revisit sub 39k in one candle given how long BTC's bearish sentiment has been since the ATH. But if we do break down 39k, these are the support levels to look out for: 33k-35k, 30k, 27k, and 23k. I have my EW targets set there as I believe the range is a bearish triangle pattern ending on the 47k PoC. Nonetheless, it is a bit worrisome to see coins distributed recently from whales.
Short trade:
Entry:45.8k
SL: 49k
TP:39K
Support and Resistance Levels are noted on the chart. Green levels are support, and red is resistance. All other colors are areas of interest that could signify a major
price reaction.
I have doubt that we'll revisit sub 39k in one candle given how long BTC's bearish sentiment has been since the ATH. But if we do break down 39k, these are the support levels to look out for: 33k-35k, 30k, 27k, and 23k. I have my EW targets set there as I believe the range is a bearish triangle pattern ending on the 47k PoC. Nonetheless, it is a bit worrisome to see coins distributed recently from whales.
Short trade:
Entry:45.8k
SL: 49k
TP:39K
Support and Resistance Levels are noted on the chart. Green levels are support, and red is resistance. All other colors are areas of interest that could signify a major
price reaction.
Note
Link to heatmap and volume charts: imgur.com/a/NSyru2BNote
Would be a good idea to take some profits here at 43.3k. CVD is curling up on the 4hr timeframe and shorts are starting to closeNote
Would recommend taking some more profit here at 39k. Still holding the shortNote
2 major support orderblock regions at 38.4k-36.5k and 34.3k-33.4k. Interesting move from whales recently. reclaiming ~41.3k-42k on a daily candle removes the risk of seeing 30k. The risk of an instantaneous move to 30k is reduced given added bids on the order block regions noted earlier, choppiness is now expected.
Short-term bullish divergences piling in so I’d expect at least a bit more ranging for now with market participants waiting for earnings reports. If they’re bad and btc continues to lead/correlate tradFi, 30k is in the bag.
May soon close the short. Depends on market conditions in the coming days/weeks.
Trade closed: target reached
closed short at 33.8k
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