Here, we can easily see on the monthly timeframe that BTC tested its FVG (Fair Value Gap) and hit liquidity. In this case, we identify a key point: the market again touched the level of 73,827 and then moved slightly downward. However, by the end of the year, BTC is expected to break this level and potentially reach 77,000 or higher. This analysis suggests a strong bullish trend for BTC in the upcoming months. It is important to watch for market reactions around these key levels, as they can provide significant insights into future price movements. Traders should consider these factors when planning their strategies to maximize potential profits.
When we view the weekly timeframe, it's unbelievably clear that the market is moving perfectly according to our strategy. It's encouraging to see this. The market reached the FVG (Fair Value Gap), initially touching the order block before returning to a high-volume candle. As you can see, when BTC reached this level for the first time, it made a strong bullish candle. I expect another strong bullish candle, and the market will likely hit the level of 73,827. If the market breaks this level, the future movement becomes unpredictable. The market has tested this FVG four times and returned, but this return is different from the previous ones due to the strong volume in the market. This indicates a high probability of a significant upward move.
Market Reached Daily Order Block (68,393 - 67,000): This is a valid observation. Order blocks can indicate support or resistance zones.
Expectation of Downward Move: If the price respects the order block as resistance, a move down to the 63,161 - 65,188 area (potential FVG?) is possible.
Uncertainties and Further Clarification:
FVG Direction: It's unclear if the FVG is above or below the order block. If it's below (63,161 - 65,188), a price drop could fill the gap.
Confirmation Needed: While the order block and FVG suggest potential price movement, they don't guarantee it. Look for additional confirmation signals like momentum shift indicators on lower timeframes.
Trading with this Strategy:
Identify confirmations: Look for a momentum shift on a lower timeframe chart (e.g., 4-hour RSI) to signal a potential direction.
Entry and Stop-loss: Define clear entry and stop-loss levels based on your risk tolerance and technical analysis.
Liquidity Hits: Be cautious of liquidity hits (sharp price movements that fill existing orders), as they can cause volatility and potentially work against your trade.
Here are some additional tips:
Backtest the strategy: Test your order block and FVG identification methods on historical data to see how effective they might be.
This analysis provides a possible scenario, but unexpected events can cause price reversals.
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