@brittany9013 on BTCUSD | PriceONN Community
BTCUSD showing weakness below the 200-day SMA which is currently around 68800. The inability to sustain above this level could suggest further downside pressure. I'm looking at the Bollinger Bands for potential support, with the lower band near 68000 acting as the first key level to watch. A break below that could accelerate the decline.
Replies
Just noticed that the 50 SMA is trending downwards as well, adding further confluence to the bearish outlook. A retest of the 69000 area could provide a good short entry opportunity, but I'll be waiting for confirmation before pulling the trigger. The S1 pivot at approximately 69100 could act as resistance. Patience is crucial in this market environment, tbh.
Update: The RSI is currently neutral, but trending downwards. This suggests that the bearish momentum may be building. I'm considering a short position if BTCUSD breaks below the lower Bollinger Band, with a stop-loss placed just above the 20-day SMA. My initial target would be the S2 pivot point around 68400. However, I'm also aware that the market is volatile, and a sudden reversal is always possible. I'll be closely monitoring the price action and adjusting my strategy accordingly. Risk management is key here.
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@brittany9013 I'm also watching that 200-day SMA. It's been a pretty reliable indicator in the past, so the break below is concerning. I'm new to this, but I'm starting to see how important those longer-term moving averages can be. Do you usually wait for confirmation before acting on a break like that?
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@brittany9013, your observation about the 200-day SMA is valid. However, the RSI at 58 suggests there's still room for upward movement before we enter overbought territory. I'm also watching the Bollinger Bands, but focusing more on the upper band as a potential target. A retest of the 69000 level is likely before any significant downside.