Bitcoin (BTC) Has a Volatile Week Ahead, with Notable Short-Term Technical Indicators in Its Price Chart

A prominent Bitcoin trading analyst revealed his plan to trade BTC between price targets from $51,500 to $61,300.

Bitcoin (BTC) price has had a relatively volatile week, with some key short-term technical indicators emerging in its price chart. In particular, two possible scenarios for trading Bitcoin have been outlined by a prominent BTC trading analyst, who revealed his plan to trade BTC between price targets from $51,500 to $61,300.

CrypNuevo took to Twitter on April 24 to share his trading plan for the week ahead, factoring in multiple indicators. Notably, the trader highlighted candlestick wicks in the daily and four-hour charts, together with a liquidation heatmap.

Bitcoin price wick formations and traders’ behavior

In his analysis, CrypNuevo highlighted two possible scenarios for trading Bitcoin this week, considering multiple indicators.

In particular, the trader highlighted candlestick wicks in the daily and four-hour charts, together with a liquidation heatmap. Notably, two of CrypNuevo’s strategies have previously been covered by Finbold, showcasing a high accuracy rate in weekly trades.

Moreover, the analyst also considered the 50-hour exponential moving average (1H 50-EMA) as a key low-time frame resistance.

This analysis suggests opportunities for either opening long positions or shorting Bitcoin, depending on its development. Nevertheless, BTC traders must understand that cryptocurrency price predictions are challenging even for expert analysts and properly manage their risks.

This week’s Bitcoin trading plan in details

Looking at the wicks, CrypNuevo explains that there are two possible interpretations.

First, long individual wicks usually mean open interest (OI) liquidity gaps, which could act as a price magnet and make appealing targets following the “wick-filling strategy.” There are two: One in the four-hour chart, targeting $56,600, and the other in the daily, targeting $51,500.

However, a series of shorter wicks could suggest market makers are consistently building their positions at these levels. If they continue with this behavior, the price may hold above the individual long wick.

On that note, the trader says he now favors longs, waiting to open a position at $56,600.“This target is also a high liquidity zone, increasing the likelihood of happening and bouncing up,” CrypNuevo stated.

Moreover, CrypNuevo eyes the $61,300 price as his next likely target to close possible longs and realize the profit. This is because there is also significant liquidity at this level, and the trader still believes the $51,500 will inevitably appear after what he called a “run for liquidity.”

Before that, the Bitcoin analyst plans to add more fuel to his long if BTC retests the 50-hour EMA resistance.

Concluding his analysis, the trader noted that following this plan requires discipline and, yet, may not render the expected results, as cryptocurrencies are highly unpredictable assets. Before mirroring experts’ trading plans, investors should remain cautious and understand their risk profile.