FX.co ★ Trading plan for Bitcoin for October 18, 2021

Technical outlook:

Bitcoin is heading for $65,000 and higher levels since printing $28,600 lows around July 21. The crypto has been rallying within a new rising channel as depicted on the daily chart. The bullish momentum is likely to be strong until prices remain within the rising channel support, which is now seen at around $48,000.

Bitcoin has taken resistance at the $59,500 mark over the last week and push closed to $63,000 levels before pulling back lower. Probability still remains for a pullback towards the $48,000 mark before bulls are back in control. Also note that immediate short term support on the daily chart is around $50,000-51,000, while resistance is now at $65,000 levels respectively.

If bitcoin drop to $48,000-50,000, it is recommended to open long positions with a target above $65,000. Only a drop below $40,000 will undermine the above bullish structure and delay matters further. Traders might be willing to take some profits now and wait for a corrective drop.

Trading plan:

Potential rally towards $65000, against $40000.

Good luck!