Trading Strategies for Bitcoin

The A wave decline of Bitcoin is unlikely to break the mid-term support level of 74,500, while the B wave rebound is unlikely to effectively break through the annual line.

Accordingly, my trading strategy is:

To build a long position when it drops to around 75,000, stop loss at 74,000, take profit when the B wave rebounds to near the annual line, risk-reward ratio close to 10;

To short when the B wave rebounds to near the annual line, stop loss at 103,600, take profit when it drops to 55,000, risk-reward ratio over 10;

There is also a relatively small probability that Bitcoin will first rebound to near the annual line, then drop to around 75,000 to complete the A wave, and then rebound to the annual line to complete the B wave rebound. This situation is actually better, as it will provide an additional short opportunity from the annual line to 75,000.

The core of this trading strategy is to wait; only act when high certainty and high risk-reward ratio trading opportunities arise, avoid trades with uncertainty, and do not engage in trades with low risk-reward ratios.

The above investment strategy is for reference only and should not be considered as investment advice.