Earlier, we took a long setup on bitcoin at 40,000, which resulted in a loss. Now that market moved further down, we will make another attempt on BTC for a long position. RIght now market is at 37,000. We will wait for bitcoin to tap the previous low, forming a double bottom. From there, we will take a long position at the price level of 33,000. It should be noted, on higher time frames, BTC is still bullish. But on the lower time frames, the trend has shifted to bearish. 

The descending trendline has been broken out for the breakout buys. Candles have validated the breakout buy. After the breakout buy, we need to wait for the retracement. At the retracement, we will have completed the setup for the long position.

At the support level, golden retracement level of 75-78.6% confluences with support level. This indication is a strong one given we also have a break out buy for the trendline.

Both the EMA's are in a bearish sentiment. Earlier, market retested the EMA 50 and took a push down. After that, it started rising up and is still moving up. There is a high potential after market takes up the liquidity from the support level, market might break up from the EMA. EMA 200, although is in a bearish sentiment, we will set this up as the profit targets.

Both the oscillators are above the neutralized levels. These levels have indicated a bullish sentiment for the bitcoin. We might see a slight retest at the 50 and 0 levels for oscillators once the market pushes down to the support. This will add an increased probability for the market to continue going up.

We see a bullish continuation for the BITCOIN from these current levels. Earlier after taking the profits from the short positions, we are now looking at the long positions.

Bitcoin long setup from 33,000

Jan 25 2022

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