Chapter 8 [Apr 25] BTCUSD Weekly Outlook: Now is the worse time to long
With majority of institutional players veering away from risk-assets, we are looking into the likeliness of BTCUSD failing to move further up. This is fueled by the the recent interest rate decision done by Fed just this Friday.
Looking into the 4 hour chart, we could see that Bitcoin just recently tapped into a massive supply area which released strong selling pressure from the bears. The mere acceleration of price away from the area is a testatement that the asset isn't looking to go further up anytime soon.
Furthermore, I have labelled $40,300 as a possible point of interest for sellers as the area was the last point of consolidation as seen in the 1 hour chart--this may draw the market in generating liquidity to move down even further.
Following that, the area also perfectly aligns with the 38.2% retracement level which is considered to be a strong psychological area in retail trading theory.
What am I looking to trade?
With the given narrative above, I am looking to enter a short somewhere within the $40,300 area. I am advising everyone to user their own confirmation entries to mitigate the chances of being stopped out. Nevertheless, I am placing my bets that BTCUSD may possibly reach $37,500--and by then, going long would make more sense.
You understand and acknowledge that there is a high degree of risk involved in trading with strategies. The above strategies and analysis are provided by the analysts for information purposes only, and do not constitute investment advice.