Trading plan for Bitcoin for February 07, 2022

Technical outlook:

Bitcoin has rallied through $43000 highs as expected and discussed over the last week. The crypto is producing the much anticipated counter trend rally after printing lows around $33000 mark earlier. It is trading close to $42700-800 mark at the time of writing and is expected to push further through $48000-50000 range at least.

Bitcoin had earlier rallied through all-time highs around $69000 levels. Since then, the crypto has dropped through $33000 levels, carving a meaningful downswing. Also note that initial support at $40000 has been taken out comfortably as bears continued to remain in control. The entire downswing between $69000 and $33000 is being retraced now and resistance is seen around $48000 mark.

Going further, EURUSD might be carving a bearish Head nd Shoulder reversal pattern as marked on the daily chart here. If the above unfolds accordingly, prices might be carving its potential Right Shoulder around $48000-50000 markbefore reversing lower. Watch out for the counter trend rally to extended further from here.

Trading plan:

Potential rally through $48000-50000 zone against $33000

Good luck!