FX.co ★ Trading plan for Bitcoin for October 26, 2021

Technical outlook:

Bitcoin had raised through all-time high around $67,000 levels in the last week. The crypto has followed a rising new channel support since $28,600 lows as depicted on the daily chart here. The next support for Bitcoin is around $45,000-46,000 zone, which falls on the channel support marked in rectangle box.

Also note that the Fibonacci 0.618 retracement of the upswing between $40,000 and $67,000 is also passing through $49,500-50,000 zone. Probabilities remain high for a bullish reversal if prices drop through the $49,500 mark as bulls might come back in control. Only a break below the channel support and $40,000 price support will nullify the above bullish scenario.

Bitcoin is facing immediate resistance around $57,000 mark, while support is seen at $51,000 level respectively. Most traders might be prepared to book profits on long positions taken earlier, Conservative traders might allow prices to drop through $50,000 mark before initiating fresh long positions.

Trading plan:

Aggressive trade potential for a drop towards $50,000, against $6,000.

Good luck!