This post is a personal investment journal based on my own market study and observations. It is not financial advice or a recommendation to buy or sell any asset. All investment decisions and responsibilities belong to each individual investor, so please make careful decisions based on your own judgment and risk tolerance.
[Bitcoin, BTCUSDT.P]
This is the comprehensive Bitcoin chart. From the upper left in a Z-shaped order, the timeframes are the 15-minute, 30-minute, 1-hour, 4-hour, daily, and weekly charts.
- On the weekly chart, Bitcoin is facing resistance near the SMA 50. If price had slowly climbed up to this resistance line, it would be reasonable to think that the accumulated strength might break through it. But since it reached this line through a sharp rally, I think it is better to keep in mind that price may pause here at least once. Of course, it could ignore my view and break through again, but when retail traders start chasing a rapid rise, I think there is nothing wrong with staying conservative.
- On short-term timeframes such as the 15-minute, 30-minute, and 1-hour charts, the candles and moving averages have come together. This means meaningful interpretations may start to appear on the shorter timeframes. For example, on the 1-hour chart, Bitcoin is receiving support from the SMA/EMA 50 area. If price comes back to this support line again, buying with a tight stop-loss could be considered.
- I do not plan to buy aggressively right away, but if meaningful movement appears on the shorter timeframes, I may consider entering a position.
[Ethereum, ETHUSDT.P]
This is the comprehensive Ethereum chart.
- Earlier, Bitcoin’s weekly chart showed price receiving support from the SMA 200, rising sharply, and then facing resistance at the SMA 50. Ethereum, on the other hand, appears to be facing resistance at the SMA 200. Since the SMA 200 feels like a final line of defense, it may be harder for Ethereum to break through this resistance than Bitcoin.
- Like Bitcoin, Ethereum is also showing meaningful movement on the shorter timeframes as the candles and moving averages come together. For both Bitcoin and Ethereum, it may be reasonable to watch the 1-hour SMA/EMA lines and look for buying timing around them.
- However, one thing must be kept in mind: on the longer timeframes, both assets have risen sharply. A pullback could happen at any time, so the stop-loss line needs to be kept tight.