Bitcoin is holding steady today at the support zone of $62,160 - $62,880. Looking at the 4H time frame, we saw Bitcoin's momentum weaken a bit, shown by a few small candles, before a Bullish Engulfing pattern finally showed up on the same time frame.
As we know, when candle bodies start shrinking and then a Bullish Engulfing shows up, that's a confirmation signal for traders, especially since it lines up with the support zone mentioned earlier. If today closes on the 1 day time frame with a long green candle body, then this signal can be considered valid.
"Should we enter the market when a Bullish Engulfing shows up?" In my opinion, it's fine, as long as you understand the risk. Traders definitely know that relying on just one signal is pretty risky. After the Bullish Engulfing appears, it's better to wait for a break of structure and a change of character to form before calling it valid.
The resistance zone around $65,200 - $65,823 has been touched three times already and will likely weaken again. As long as this zone isn't broken with a candle close, the bearish momentum will keep going.
In the last 24 hours, a lot of traders opened short positions, with total liquidations reaching $16.03M. Long positions were pretty big too, hitting $12.23M. Meanwhile in the last 12 hours, short positions that got liquidated reached $13.49M, while long positions were much smaller, only $2.06M.
Altcoin movement still looks a bit off to me. Always keep an eye on altcoins like ETH, BCH, Doge, and XRP. If their momentum keeps pushing without slowing down, that means the bullish move is still going strong. Since I always watch altcoins closely, if their movement gets stuck, that could be a sign a reversal is coming.
Missing out on momentum is better than losing money. Don't always feel like you're falling behind, because the market is always moving⏳
⛔Disclaimer - This analysis is for educational purposes and reflects personal opinion only, not financial advice. Always practice risk management and use stop losses (SL) according to your own risk tolerance.
Keep trading and stay profitable📊💪
