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Daily Crypto Support and Resistance - The Big Two

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Direct from the desk of Dane Williams.



Hey team,

After the other day sharing the daily forex support and resistance zones of the majors that I primarily focus my day trading around, let's now turn our focus to crypto markets.

I'm getting these higher time frame looks done on the weekend so I'm ready to go each day this week with intraday setups depending on whether each market is in-play or not. In-play being trading around the higher time frame support/resistance zones in either of these blogs.

All of the analysis in any of my LeoFinance blogs use my simple forex support and resistance trading strategy that you can find at that link.

Daily Support and Resistance Zones

If crypto is more of your thing, then today's look at Bitcoin and Ethereum are going to be more up your alley.

You may think it sounds lame that I'm only focusing on the big two, but I do this for a reason. As I day trade crypto on margin using CFD markets offered by my MT4 forex broker, I only want to touch the most liquid crypto markets and ensure I'm never holding an open position over the weekend.

For full context, I've included the weekly charts as well as the daily just so you can more clearly tell why I've placed the zones that I have. Now we're back at levels not tested since 2017, to see what I'm talking about on a daily will take a lot of scrolling.

Let's take a look.

BTC/USD

Weekly:

Daily:

  • Bitcoin has obviously gone into unchartered territory after breaking out of the previous all time highs at 20K.
  • The daily zone that price has pulled back into is drawn at the 32K support/resistance zone we had previously talked about. I don't really like this zone if I'm honest, but it's all we have to go by.
  • I'll most likely be passing on day trading around it next week. We're better off being patient and waiting for a clear zone to form.

ETH/USD

Weekly:

Daily:

  • As Ethereum hasn't broken its all time highs yet, we have a bit more to work with in terms of daily support/resistance zones.
  • I like the way price is respecting the current resistance zone and when it comes to next week's day trading, this zone certainly inspire more confidence than what we just looked at in Bitcoin.

As I said the other day, if you have any interest in day trading forex or crypto, then place some of these zones on your charts and watch how price moves when it reaches them. Get them on your chart and start to learn by doing.

I'll see you next week with intraday analysis as price moves around the higher time frame support/resistance zones that I've featured both here and on Friday's forex blog.

Best of probabilities to you,

Dane.



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