FX.co ★ Trading plan for Bitcoin for May 02, 2022

Technical outlook:

Bitcoin had slipped through $37,600 mark over the weekend before pulling back sharply. The crypto has yet again tested and found support of the channel as bulls have pushed close to $39,000 mark at this point in writing. It is looking to hold prices above $34,000 mark as bulls are looking poised to remain in control.

Bitcoin is facing immediate resistance around $40,500, followed by $42,000 levels respectively. A break above $40,500 will confirm that a meaningful bottom is in place and bulls are back in control. Ideally, we should see higher highs and higher lows from here on as prices push through $50,000-55,000 zone, going forward.

Bitcoin seems to have completed its corrective drop, which had begun from $48,000 highs in March. If the above structure holds well, the crypto should be well poised to resume its next leg higher through $50,000 mark at least. Bears will be looking to come back into control thereafter and drag below $28,000 mark.

Trading plan:

Potential rally through $50,000-55,000 against $33,000

Good luck!