The first day of the week turned out to be a good day for Wall Street. All the three major indices: Dow Jones (DJI), S&P 500 (SPX) and NASDAQ ended the trading day in positive gains.
The correlation that is currently happening between the S&P 500 and BTC is uncanny. And since, most of the cryptos replicate the movement of the BTCUSD, cryptos such as ETHUSD, LTCUSD, XRPUSD posted modest gains.
Now is the time for swing trading in Bitcoin
BTC copying the S&P 500 is good news, at least for now. The reason is simple. Bitcoin won’t make any abrupt big moves in the immediate short term. However, the BTCUSD is fluctuating in the range of $7,400- $7,800. It is an excellent opportunity for swing trading where traders make use of the price fluctuations in the short term and book profits.
BTCUSD short term trading strategies
Let’s take a look at the fifteen-minute timeframe for BTCUSD. Source: TradingView.com
- The chart clearly shows the two immediate support levels at $7,666.06 and $7,680.64.
- It also shows the formation of a ‘Bearish engulfing.‘ The entry point for a short position would have been at $7,760, with a target of $7,682.
- Similar instances of intraday trading and swing trading are available in BTC presently.
As of writing this article, BTCUSD is at $7,701. It seems that BTC would soon retest the support at $7,680.64. The next support at $7,666.06 will come into the picture if Bitcoin breaks the former. However, in case BTC drops below the latter, BTCUSD could reach way below to $7,400.
