Short Bias on BTC/USDT | Potential Reversal Zones
2024-11-12

Current Position: SHORT on BTC/USDT

Overview: Bitcoin has been in a strong uptrend, but key technical signals indicate a potential pullback or consolidation ahead. Here's my trade setup and analysis:

📉 Short Thesis
Stop-Loss: Placed at 90,162.75 USDT. This level serves as an invalidation point for my short, as a break above could signal bullish continuation.

Target Levels:

TP1: 82,000 USDT — Initial profit-taking zone where we may see some buyers stepping in.
TP2: 78,000 USDT — Secondary target, aligned with possible structural support.
TP3: 76,000 USDT — Next level of interest if bearish momentum intensifies.
TP4: 72,634.67 USDT — A deeper target, achievable if BTC sees a more significant correction.
Technical Signals:

Multiple Break of Structure (BOS) points suggest that BTC could be ripe for a pullback, as these BOS zones act as potential resistance.
Order Blocks and Fair Value Gaps (FVG): Price is approaching areas of liquidity, which may act as magnets for short-term bearish pressure.
Moving Averages: BTC is extended above key moving averages, indicating overextension and room for a potential mean reversion.
Risk Management:

I’ll be actively managing this short by adjusting my stop-loss once price approaches TP1.
Trailing stops will be set at key levels to lock in profits as BTC hits each target zone.
Market Structure Watch:

If BTC closes above 90,162.75 USDT on the 2H timeframe, it invalidates my short bias.
If BTC shows strong volume and buying pressure around 84,135.89 USDT or the FVG zones, I may consider scaling out early.