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BTC/USD Forex Signal: Approaching $100,000

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

My previous BTC/USD signal on 18th November was not triggered, as none of the key levels which I had identified were reached that day.

Today’s BTC/USD Signals

  • Risk 0.50% per trade.
  • Trades must be entered before 5pm Tokyo time Thursday.

BTC/USD Signal Today - 21/11: Approaching $100,000 (Chart)

Long Trade Ideas

  • Go long after a bullish price action reversal on the H1 timeframe following the next touch of $93,833 or $88,437.
  • Put the stop loss $100 below the local swing low.
  • Move the stop loss to break even once the trade is $100 in profit by price.
  • Take off 50% of the position as profit when the trade is $100 in profit by price and leave the remainder of the position to run.

Short Trade Idea

  • Go short after a bearish price action reversal on the H1 timeframe following the next touch of $100,000.
  • Put the stop loss $100 above the local swing high.
  • Move the stop loss to break even once the trade is $100 in profit by price.
  • Take off 50% of the position as profit when the trade is $100 in profit by price and leave the remainder of the position to run.

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The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

BTC/USD Analysis

I wrote in my previous BTC/USD forecast last Monday that the outlook was very bullish, and the best signal to enter a new long trade would be a New York close above $91,070.

This was an accurate, profitable call as it would have produced a winning long trade.

The price has continued to advance, with all the price charts for Bitcoin simply showing very bullish price action, even though the pace of the advance has slowed down.

Drilling down to the hourly chart, which is shown below, there are new higher support levels which could be used to find entry points at bounces.

The price made a new record high at $98,000 close to the very big round number at $100,000. I think if that big number is reached, there will be profit taking, so people with long trades with floating profit might want to consider an exit at that level, or at least a partial exit.

I think the price of Bitcoin will likely reach $100,000 today. Going long after that happens should only be done very carefully.

If the price dips to $93,833 before reaching $100,000 and starts to bounce there, that would probably be a good long trade entry.

There is nothing of high importance due today regarding Bitcoin or the US Dollar.

Ready to trade our free Forex signals on Bitcoin? Here’s our list of the best MT4 crypto brokers worth reviewing.

Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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