Technical analysis by Chetan_alpha about Symbol BTC on 5/28/2025

Let's analyze the chart and create a plan for tomorrow's trading session (May 29th). --- **Bitcoin (BTCUSDT) Intraday Trade Plan & Key Zone Analysis** **I. Key Zone Analysis:** 1. **Selling Zone (Resistance - Red Highlight: ~109,800 - 110,200 USDT):** * This is a significant supply zone where price previously faced strong selling pressure, leading to sharp declines. * It represents a concentration of sell orders from institutions or large traders. * Any retest of this zone is likely to be met with renewed selling. 2. **Buying Zone (Support - Green Highlight: ~106,700 - 107,000 USDT):** * This is a strong demand zone where price has previously found solid support, leading to bounces. * It indicates a concentration of buy orders, suggesting institutional accumulation. * This zone is a key area for potential bullish reversals. 3. **"Order Trapping" Areas (Dotted Red Lines):** * The chart explicitly highlights "Order Trapping" zones. In SMC terms, these are often areas where retail traders might get trapped (e.g., placing stop-losses below recent swing lows, or entering early into perceived support/resistance). * Smart Money often targets these areas for **liquidity sweeps** to fill their large orders before moving the market in the intended direction. The current price is right below one such "trapping" area. **II. Intraday Trade Plan for May 29th:** **Overall Sentiment:** BTCUSDT has seen a sharp decline from the Selling Zone and is now approaching the Buying Zone, with "Order Trapping" indications along the way. The immediate bias is bearish towards the Buying Zone, but a bounce from there is highly probable. **A. Bullish Scenarios (Long Trades):** 1. **Reversal from Buying Zone:** * **Entry:** Wait for price to enter the **Buying Zone (106,700 - 107,000 USDT)**. Look for clear bullish reversal patterns on lower timeframes (e.g., 5-minute, 3-minute chart: hammer, bullish engulfing candle, strong bullish engulfing reversal from a previous bearish candle, double bottom). Volume confirmation for the reversal is a plus. * **Targets:** * **Initial:** Towards the "Order Trapping" levels above (e.g., 107,800, 108,100, 108,600 USDT). * **Intermediate:** Towards 109,000 - 109,200 USDT. * **Aggressive:** A retest of the **Selling Zone (109,800 - 110,200 USDT)** if momentum is strong. * **Stop-Loss:** A tight stop-loss just below the low of the reversal candle, or just below 106,600 USDT. 2. **Aggressive Bounce from Current Levels (Less Preferred):** * The green arrow suggests a potential move up from current levels (around 107,500). This would imply price sweeping the "Order Trapping" liquidity below and then reversing. * **Entry:** Look for strong bullish momentum and a break above the immediate "Order Trapping" level (around 107,700-107,800). * **Caution:** This is aggressive as it's before reaching the strong Buying Zone. **Confirmation is key.** **B. Bearish Scenarios (Short Trades):** 1. **Rejection from Selling Zone:** * **Entry:** If BTCUSDT rallies strongly and enters the **Selling Zone (109,800 - 110,200 USDT)**, look for clear bearish reversal patterns on lower timeframes (e.g., shooting star, bearish engulfing candle, failure to sustain above the zone). Decreasing buying volume into this zone would confirm weakness. * **Targets:** Initial target at the "Order Trapping" levels below, then towards the **Buying Zone (106,700 - 107,000 USDT)**. * **Stop-Loss:** A tight stop-loss just above the high of the rejection candle, or slightly above 110,250 USDT. 2. **Breakdown below Buying Zone (High Risk):** * **Entry:** If the **Buying Zone (106,700 - 107,000 USDT)** fails to hold and BTCUSDT gives a strong **15-minute candle close below 106,600 USDT** with high volume, it signals significant weakness. * **Targets:** Further downside can be expected, looking for previous lows. * **Stop-Loss:** Above the breakdown candle's high or slightly above 107,000 USDT. * **Caution:** This is a high-risk trade as the Buying Zone is strong. Confirm with extreme caution. **III. Important Considerations for Intraday Trading BTCUSDT:** * **Volatility:** Crypto markets are highly volatile. Use smaller position sizes compared to traditional assets. * **Funding Rates:** Be aware of funding rates on perpetual futures, which can influence price action. * **News/Events:** Any major crypto-related news (regulatory, exchange, project updates) can cause rapid price swings. * **Volume Confirmation:** Always confirm breakouts/breakdowns/reversals with significant volume. * **Risk Management:** Strict stop-loss is paramount. Never risk more than 1-2% of your trading capital per trade. * **Lower Timeframes:** Use 5-minute or 3-minute charts for precise entries and exits, but identify your main zones on the 15-minute or 30-minute chart. * **Don't Predict, React:** Trade what the market shows you, not what you think it should do. * **Psychology:** Avoid FOMO (Fear Of Missing Out) or revenge trading. Stick to your plan. This plan provides a framework. Adapt your entries and exits based on live market conditions and your personal risk appetite. Good luck with your trading tomorrow!