Bitcoin: The Key Levels You Must Know

Let's look at the market using the 4H chart and key levels.

The price is at 7085.85 support level. If you look at the left side of the chart, you will see how the price moved in this zone. Several times the price bounced from it and dropped below it.

If we talk about the market conditions, we have a downtrend. The price bounced from Simple Moving Average with period 200. It is a bearish signal. If the price breaks 7085.85 support, it will confirm the further downward movement. If so, the main target for sellers will be at 6500.00 level. Why? Because in the past, the price bounced two times from this level, and for the market, it will be the local bottom.
If you like open short trades in crypto, the breakout below 7085.85 can be used for selling. Probably you know that I'm not a fan of shorting crypto, and I will skip this sell opportunity.
If you don't care in which market to open short trades, do what you want, just don't forget about stop orders.

If we talk about buying, I would like to wait confirmed reversal signals from 7085.85, 6500.00, and 6000.00 support zones. If the price breaks 6500.00, the solid bottom at 6000.00 will be reached, and it will give us an amazing buy opportunity.

Also, it will be possible to buy based on a breakout above 7700.00 resistance and SMA with 500 period.

So, here is my plan for Bitcoin based on the 4H chart. What about you? Do you have long positions? Do you have short positions? How are you going to trade Bitcoin? Please, share your ideas in comments.

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