- Bitcoin price shows strength as it maintains the $40,000 support zone.
- Ethereum price develops an entry that could yield a 27% gain.
- XRP price is poised to return to the critical $1 value area.
Bitcoin price action has spent the week developing a particularly nasty bear trap off a head-and-shoulders pattern. Ethereum price pulled back from the recent rally, but it has found support and shows signs of buyers returning to continue the push higher. XRP price has developed a near-identical reversal setup to Ethereum as Ripple targets a 20% gain.
Bitcoin price presents buying opportunity before BTC will breakout to $61,000
Bitcoin price action continues to offer an excellent long opportunity before the weekend. The theoretical long entry is a buy stop order at $44,000, a stop loss at $40,000, and a profit target at $61,000. The trade represents a 4.25:1 reward/risk with an implied profit target of over 40% from the entry. A two-box trailing stop would help protect any profit made post entry.
BTC/USD $1,000/3-box Reversal Point and Figure Chart
The theoretical long idea is invalidated if Bitcoin price has a daily or weekly close below the $39,500 value area.