The Setup
Bitcoin has been creating a consolidation range after the extensive bullish impulse made on April 29. The consolidation is also within the upward channel. Lately, the price is making a breakout of the triangle, and above the $9,000 resistance level. Also, the MACD made a bullish crossover, and the RSI is progressing and touching the 60 level.
Also, BTC price moves above its 20-, 50- and 200-period SMA which means the underlying trend is up.
A trading plan can be made, assuming the continuation of the bullish trend, with an entry above the current price of $9,100, with a stop below the recent low, and betting that at least the price will try to hit the last high of $9,442
The key levels
- Entry buy: 9,102
- Stop-Loss: 8,802
- Profit target: 9,442
Risk and Reward
This trade has a $300 risk and $340 profit. for every bitcoin unit.
Reward/risk = 1.13
We recommend taking no more than 0.1 BTC for every $1000 in your account.
