How to trade strong downtrends in Bitcoin with Price action.
We had a strong correction in the major cryptocurrencies. Bitcoin and Ether and other liquid assets like Ripple traded pretty much in sync.
So this price action technique can be applied to all of them. In the chart I briefly explain in the notes why theses short entries are within my price action rules.
The covering of the positions take place at support/trendlines or price targets from second leg projections.
Right now the market has broken the downward trend channel and is moving sideways, which can be expected after such a major downtrend.
But there is still a risk that after the break of the downward channel we might get a retest of the low in the next days, before a new bigger uptrend can evolve.
So this price action technique can be applied to all of them. In the chart I briefly explain in the notes why theses short entries are within my price action rules.
The covering of the positions take place at support/trendlines or price targets from second leg projections.
Right now the market has broken the downward trend channel and is moving sideways, which can be expected after such a major downtrend.
But there is still a risk that after the break of the downward channel we might get a retest of the low in the next days, before a new bigger uptrend can evolve.
