BITCOIN - THE KING OF CRYPTO (TECHNICAL ANALYSIS + TRADE PLAN)

Descending Trading Channel:
Bitcoin is currently in a descending trading channel, indicating short-term bearish pressure but within a larger bullish structure.
The breakout above the channel's resistance line signals a potential reversal to an uptrend.

Support Zone:
A strong support zone is marked around the $92,000–$94,000 range, where demand is evident, as indicated by price consolidation.

Indicators:
RSI (Relative Strength Index):
RSI near 47 suggests the asset is in neutral territory but trending upwards, moving away from oversold conditions.

Stochastic Oscillator:
Bullish crossover near 66 indicates increasing momentum toward an overbought state, confirming the breakout possibility.

Money Flow Index (MFI):
Rising MFI implies capital inflow, supporting the likelihood of upward price movement.

VMC Cipher B Indicator:
Bullish divergences are forming, suggesting a potential trend reversal.

Volume Profile:
While not explicitly shown, the lack of significant volume during the recent decline confirms a corrective phase rather than a bearish trend.

Target Zones:
Initial target post-breakout: $100,000 (psychological resistance).
Secondary target: $108,000–$112,000, where historical resistance might emerge.


Trading Plan:

Entry Strategy:
Enter once Bitcoin decisively breaks above the descending trading channel resistance with strong volume confirmation.

Support Buy:
Accumulate near $92,000–$94,000 if the price retests the support zone.

Stop-Loss Placement:
Place stop-loss below the $90,000 mark to minimize risk if the breakout fails or support zone does not hold.


Short-Term Target:
Set take-profit at $100,000, just below psychological resistance to ensure execution.

Medium-Term Target:
Partial profit at $108,000 and $112,000 for extended upside.

Risk Management:
Limit exposure to 1-2% of total capital per trade.
Maintain a risk-reward ratio of at least 1:3 to optimize profitability.

Watch for increased volume during breakout confirmation.
Monitor macroeconomic factors and news affecting Bitcoin, as sudden events may invalidate technical setups.