Analysis of transactions and trading tips for Bitcoin
The price of Bitcoin reacted with an increase to the weak report on the change in the number of non-farm payrolls in the United States released on Friday, but the bullish trend did not continue. Despite some decrease in labor market activity, it is definitely not enough for the Federal Reserve to adopt a wait-and-see position on interest rates in the future. Until the committee raises rates, there is no expectation of significant growth in risk assets and the cryptocurrency market. Over the weekend, the market did not show any dynamics, so it did not lead to any significant technical changes or shifts in power.
Buy signal
Scenario #1: You can buy Bitcoin today when it reaches the entry point around 30,160 (green line on the chart) with a target of growth to 30,450 (thick green line on the chart). I recommend exiting purchases around 30,450 and opening sales in the opposite direction. Counting on a strong Bitcoin growth will only be possible after the return of major buyers to the market, which is unlikely.
Note: before buying, make sure that the MACD indicator is above the zero mark and is just starting to rise from it.
Scenario #2: You can also buy Bitcoin today in the case of two consecutive price tests at 30,020 when the MACD indicator is in the oversold area. This will limit the downward potential of the trading instrument and lead to an upward pullback, with targets at 30,160 and 30,450.
Sell signal
Scenario #1: You can sell Bitcoin today only after the level of 30,020 is updated (red line on the chart), which will lead to a rapid decline in the trading instrument. The key target for sellers will be the 29,790 mark, where I recommend exiting sales and opening immediate purchases in the opposite direction. The longer Bitcoin trades in a channel, the higher the likelihood of downward pressure on it.
Note: before selling, make sure that the MACD indicator is below the zero mark and is just starting to decline from it.
Scenario #2: You can also sell Bitcoin today in the case of two consecutive price tests at 30,160 when the MACD indicator is in the overbought area. This will limit the upward potential of the trading instrument and lead to a downward pullback, with targets at 30,020 and 29,790.
What's on the chart:
Thin green line – entry price at which you can buy the trading instrument.
Thick green line – estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.
Thin red line – entry price at which you can sell the trading instrument.
Thick red line – estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.
MACD line – it is important to be guided by overbought and oversold areas when entering the market
Important: Novice traders in the cryptocurrency market need to be very cautious when making decisions to enter the market. It is best to stay out of the market before important fundamental reports are released to avoid getting caught in sharp price fluctuations. If you decide to trade during news releases, always place stop orders to minimize losses. Without setting stop orders, you can quickly lose your entire deposit, especially if you don't use money management and trade with large volumes.
And remember, for successful trading, it is necessary to have a clear trading plan, similar to the one I presented above. Spontaneously making trading decisions based on the current market situation is inherently a losing strategy for an intraday trader.
