BTC/USD Forex Signal: Possible Bearish Double Top At $79,500

My previous BTC/USD signal on 15th April was not triggered.

Today’s BTC/USD Signals

Risk 0.50% per trade.
Trades may only be taken before 5pm Tokyo time Tuesday.

Long Trade Ideas

Long entry after a bullish price action reversal on the H1 timeframe following the next touch of $76,975, $76,159, or $75,014.
Put the stop loss $100 below the local swing low.
Adjust the stop loss to break even once the trade is $100 in profit by price.
Remove 50% of the position as profit when the trade is $100 in profit by price and leave the remainder of the position to run.

Short Trade Idea

Short entry after a bullish price action reversal on the H1 timeframe following the next touch of $81,203
Put the stop loss $100 above the local swing high.
Move the stop loss to break even once the trade is $100 in profit by price.
Remove 50% of the position as profit when the trade is $100 in profit by price and leave the remainder of the position to run.

The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.

BTC/USD Analysis

In my last BTC/USD forecast almost two weeks ago, I thought that the ascending channel which was still holding the price was pointing towards a bullish outcome. This was a good call insofar as the direction that day and the next days was generally bullish. Unfortunately, no support levels were hit to trigger a long trade entry.

The technical picture has changed – although I say it is marginally bullish, sue to the continuing consolidation above the support level at $76,975 which looks firm – we have a bearish double top which has recently completed just below the big round number at $80,000.

A potentially bearish factor is the way that although American stock markets have been able to rise to new record highs, Bitcoin is not even able to get above $80,000 after making a record high above $120,000 some monthly ago.

As there is a medium to long-term bullish trend and as we have recently seen a significant new high price, I am prepared to enter a new long trade if we get a bullish bounce at $76,975. From there, the price should have room to rise at least as high as the bearish double top at $79,500.