Bought Bitcoin In The Breakout Pullback. Market Is With Buyers As I Predicted

Crypto Analysis #4

Bitcoin Vs US Dollar

Hey there, TraderSaan is here.
Today I am going to share one of running trade in the BTCUSD which I have forecasted in my last two posts. The link is below, check it out if you missed it.

Analysis 1, before breakout:
https://steemit.com/crypto/@sanjibmondal99/is-bitcoin-ready-to-move-up-here-is-my-take

Analysis 2, after breakout:
https://steemit.com/hive-108451/@sanjibmondal99/yes-bitcoin-is-on-the-rocket-as-i-predicted-last-time

I am actually a swing trader, meaning I hold my position for 2-3 days or more. So I usually trade at the timframe of 4 hour (H4), 1 hour(H1), or occasionally at 30 miniutes (M30). And one more thing is that I analyze the chart in tradingview and take trade in MT4.
Firstly, I will cover the fundamental analysis and then will give an insight of technical part.

Fundamental Outlook (Bullish)

• Russia was banned from dealing using neighbour country's currency after the fast sanction of Joe Biden and NATO. After that, Russia is completely unable to deal with some major countries. So in order to continue their business transaction, they could go for using BTC as a payment currency as BTC is one of the most major cryptocurrency till now.
Sanction on Russia is the cause of appreciating Cryptocurrency.

• We all are aware of the metaverse world. To be straight forward, Metaverse is our future. So Crypto currencies are going to be appreciated with this sentiment.

• On the other hand, USD is neutral currently after the Fed chairman Jerome Powell sounded hawkish and talked about the global economy uncertinity at the same time in the last press conference.

Technical Outlook

• Yes, I have bought Bitcoin against USD using my strategy Breakout Pullback. If you don't know this strategy, you can check my earlier post where I have discussed in details. Here is the link.
https://steemit.com/money/@sanjibmondal99/the-breakout-pullback-strategy-for-trading

So, price hade broken the resistance zone and I was waiting for a pullback move to the broken resistance zone. Once price has come back to that level, I jumped into the market and bought it. My Stop loss is relatively tight (the golden line in the chart below), I have two Target Profit, the TP1 is at the most previous swing high and the TP2 is at 51k level which is a major resistance previously. And I have got floating profit like 1000 USD and if price hits TP1, I will move my SL to break even and will take some partial profits.

BTCUSD, H4, expecting the price will go in the shown direction

Image source: tradingview, prepared by me

Some technical confluences behind taking this trade
• Fibonacci Golden Zone : Actually, I use Fibonacci tool to take a gauge of the retracements move or pullback move and I personally like 50 to 61℅ zone, it is called Fib Golden Zone. Aggressive traders go for 38℅ or strictly 50% retracements of a trending move.

BTCUSD, H4, the readish ellipse is the Fib golden zone as well as my entry level

Image source: tradingview, prepared by me

• 50 & 200 MA : In BTCUSD, 50 & 200 Moving Averages are beautifully aligned upwardly which indicates upward momentum. Also, Price is supported by 50 MA at my entry zone. That increases the odds of being a buyer.

BTCUSD, H4, 50 and 200 MA are aligned upwardly.

Image source : tradingview, prepared by me

• SUPPORT & RESISTANCE : Price had been in a range bound for past few days. And finally yesterday price broke the major resistance zone with a big volumed move upside, and wh were the sellers in that resistance zone, they became buyers when their stopp loss got hit by the brakout move.

BTCUSD, H4, Support & Resistance zone

Image source: tradingview, prepared by me

I always take a trade when my fundamental and technical analysis say the same thing. As follows:

Case I
Fundamental = buy, Tchnical = sell, that implies Not To Trade

Case II
Fundamental =sell, Technical = buy, that implies Not To Trade

Case III
Fundamental = buy, Technical = buy, that implies Jump In For Buying

Case IV
Fundamental = sell, Technical = sell, that implies Jump In For Selling

Disclaimer: This is not any financial advise or trading mantra. My purpose is to help traders to learn. This post is made for completely educational purpose. Hope it helps.

Thank you very much if you make it to the end. Happy trade.