The Weekly Bitcoin Break Down for 5/4

Well, it is the start of May, GBTC just started trading, and bitcoin is looking good. The goal of these articles is going to be to offer up various scenarios and key levels that a trader may face during this week. So let’s get into it…

There is some exciting development on the weekly chart for bitcoin. Price has come down into that 61.8% fib level and has put in a swing low. A swing low is defined in the charts as a down candle with a higher low on both sides. This may be signalling that bitcoin has put in a longer term low and is poised to break out and move to some higher targets. With this higher timeframe in mind, we can guide our decisions to look for buys knowing that a strong uptrend is behind us. Next, let’s look at daily key levels for bitcoin that may provide support and resistance if and when bitcoin should reach these levels.

I consider these price levels to be highly sensitive meaning that price is likely to react should price reach these levels. It is good to mark up your charts with higher timeframe levels to start every week to guide your decisions for the coming days.

Bitcoin has been blasting up and is under resistance at 242. We have to consider that bitcoin may need to correct and reach for a retracement into the 61.8% fib level, but also keep in mind that the higher timeframe is pulling bitcoin up, so we gotta be on the look out for signs of bitcoin moving up.

A couple last things:

If you have not done so already, Open an OKCoin Account. OKCoin is the most liquid and most versatile BTC exchange out there, and I personally use it.

I also do a weekly forecast every week, and I have a bitcoin training series to check out.

Here is a more in depth Bitcoin Weekly Forecast that I have made for this week:

Until Next Time,

Good Luck and Good Trading