CRYPTONAIRE
WEEKLY CRYPTO investment journal
CRYPTO TRADE OPPORTUNITIES BITCOIN - BTC/USD
Bitcoin corrected sharply on November 25 and 26. Although the price dipped below the 20-day EMA, the bears could not capitalise on this weakness and sustain the lower levels. This suggests that traders viewed the fall as a buying opportunity. The strong bounce off the 20-day EMA has carried the BTC/ USD pair near the psychological resistance of $20,000, as suggested in the previous analysis. The upsloping moving averages and the RSI near the overbought territory suggest advantage to the bulls. If the bulls can push and sustain the price above $20,000, the next leg of the uptrend to $25,000 could begin. Conversely, if the bulls fail to sustain the price above $20,000, the pair may consolidate in a range for a few days before starting the next trending move. The trend will turn in favour of the bears if the price turns down and plummets below $16,000. We believe that the risk to reward ratio is not attractive. Hence, we will wait for the price to correct, stabilise, and form a bottom before proposing a trade.
Cryptonaire Weekly | December 1st 2020
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