"Jack's Trading Classroom" BTCUSD continues to consolidate in a bottoming pattern.

Original Jack's Trading Classroom "BTCUSD Continues to Layout in Bottom Pattern"

In the analysis article "Long and Short Layout of BTCUSD Bottom Pattern" published on March 4, 2020, we mentioned, "We should continue to focus on the upper high point 8970.0, considering this high point as a structural resistance. It is recommended that operators enter a breakout long position if this high point is breached."

Currently, we also see on the one-hour candlestick chart of BTCUSD that earlier, the price of BTCUSD has already broken through the 8970.0 structural resistance mentioned in our previous article and reached the upper resistance level of 9146.0 before bouncing back. After breaking through the original structural high point, it can be determined that the 8970.0 high point has been surpassed, coupled with the continuous rise of the bottom low point.

One of the simplest and essential elements of a trend

1. Higher Highs

2. Higher Lows

This allows us to judge that in a one-hour cycle, BTCUSD is forming a basic uptrend, and there are two probable price levels for rebound that should be particularly noted:

1. Fibonacci sequence 61.88983.0

This price level coincides exactly with our original entry point for long positions at 8970.0

Therefore, we can determine that this position is a relatively effective structural support level

2. Fibonacci sequence 38.28865.5

This range is also a probable rebound parameter of the Fibonacci sequence

Operators are advised to mainly enter the market with pullback lows or support long positions

Trade with the trend until it reverses

Upper Resistance Levels

R1 9146.0

R2 9419.0

Lower Support Levels

S1 8807.5

S2 8633.0

In recent days, the cryptocurrency market has experienced larger fluctuations. Operators are advised to strictly implement risk control measures and avoid high leverage and high contract volume operations to prevent additional losses caused by volatile market conditions. This article is personal commentary, please read with caution, as cryptocurrency trading may pose risks to your capital.

WeChat Official Account: Jack's Trading Room

Personal Website: jackbtc.io

Related Reading

• "Jack's Trading Room" Long and Short Layout of BTCUSD Bottom Pattern
• "Jack's Trading Room" Analysis of BTCUSD Head and Shoulders Pattern

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