From the current market position at 103,363.96, Bitcoin is poised within a key price range. As per your outlined strategy, you're targeting a potential 4.71% drop to the mitigation block at 97,911. This level serves as a critical zone for price action, which could offer an opportunity for a potential reversal or continuation.
Key Levels:
Dealing Range High: 117,900
Mitigation Block: 97,911
Current Price: 102,663.96
Potential Drop: 4.71% to the mitigation block
Price Target (TP):
From the mitigation block at 97,911, the target suggests a 20% potential gain as the price moves toward the upper boundary of the dealing range at 117,900.
Key Observations:
Risk/Reward Ratio: The setup shows a favorable Risk/Reward ratio of 4.75, which aligns with a solid risk management strategy, especially considering the potential for a 20% gain from the mitigation block to the dealing range high.
Stop Loss: The stop loss is set around 93,456.00 as per the chart, ensuring proper risk management in case the market moves against the expected setup.
Suggested Strategy:
Entry: Watch for price action near the mitigation block (97,911) for a potential entry.
Take Profit: Aim for the 117,900 level, targeting a 20% gain.
Stop Loss: Keep stop loss orders at 94,960 to protect against larger downside movement.
This setup offers an attractive risk/reward proposition, but always ensure you are actively managing the trade, especially if price approaches the mitigation block.
