FX.co ★ Trading plan for Bitcoin for May 24, 2021

Technical outlook:

Bitcoin had dropped through $30,000 levels over the last week before reversing sharply and regaining $40,000 handle. The rally from $30,000 lows seems to be corrective yet, and there could be further decline to complete the structure. Traders might remain long or prepare to initiate fresh long positions going forward.

Bitcoin is seen to be trading around $36,500/600 levels at this point in writing and might find support again soon. Immediate price support is at $30,000, while resistance stays at $40,500, followed by $60,000 and higher respectively. A temporary bounce towards $48,000 remains possible before Bitcoin finds resistance again.

Bitcoin has still got its trend line support since prices bounced again from its one year old trend line support around $30,000 levels. A rally from current levels remains possible but we need to see a clear break above $60,000 levels to confirm a trend reversal. This rally could be the last one to push above $65,000 levels, before a major bearish reversal.

Trading plan:

Remain long from @ 36,400/500, stop @ 28,000, target @ 65,000 at least.

Good luck!