BTC/USD Potential Reversal and Upside Breakout – Detailed

l’altro ieri

Technical Overview:
Currently, BTC/USD is trading within a descending channel, as indicated by the orange trendlines. The price is approaching the lower boundary of this channel, which aligns with a key support level around $90,000. This area has shown previous rejection and could act as a pivot for a bullish reversal.

Bullish Scenario:
A breakout above the descending channel would signal a potential shift in market sentiment.
Key levels to watch for upside targets:
$105,000: Intermediate resistance.
$112,000: Major resistance level coinciding with the upper red trendline.
Bearish Scenario:
If BTC/USD breaks below the support around $90,000, further downside is likely, with a potential move toward the $85,000 region, as indicated by the lower blue trendline.
Trade Plan:
Entry: Monitor for bullish confirmation signals (e.g., breakout and retest above $94,000).
Profit Targets:
TP1: $105,000
TP2: $112,000
Stop Loss: Below the channel's lower boundary at $89,000.
Conclusion:
This analysis highlights a potential breakout scenario but remains cautious of bearish continuation if support fails. Always manage risk and adapt to market conditions.

Ensure your TradingView chart includes:

Descending channel: Highlighted with orange trendlines.
Key levels: $90,000 (support), $105,000 and $112,000 (resistance).
Directional arrows: Indicating potential breakout scenarios (bullish and bearish).