Trading Recommendations for the Cryptocurrency Market on November 12

[Ben Graham]

The enthusiasm of Bitcoin buyers has quickly faded. Following purchases made last weekend, both Bitcoin and Ethereum are losing positions day after day. Apparently, there are no new positive drivers, so buyers are in no rush to return to the market.

The potential decision by the US Federal Reserve to lower interest rates again in December remains the main positive catalyst for crypto traders. Even before the last Fed meeting, many hoped for a rate cut at the end of the year; however, just recently, Fed Chairman Jerome Powell indicated that further policy easing is not yet a settled matter. Yesterday, the media reported that disagreements within the US central bank regarding the rate cut in December have only intensified, placing cryptocurrency traders in a much more uncertain situation.

It is worth noting that Fed decisions directly affect risk assets, including cryptocurrencies. A tighter monetary policy typically leads to capital outflows from the cryptocurrency sector, whereas an easing policy, conversely, promotes capital inflows. The growing disagreements within the Fed complicate forecasting of the central bank's future actions, creating an unfavorable environment for investment decisions.

Regarding the intraday strategy in the cryptocurrency market, I will continue to act based on any significant pullbacks in Bitcoin and Ethereum, anticipating the continuation of a bullish market in the medium term, which remains intact.

As for short-term trading, the strategy and conditions are outlined below.

Bitcoin

Buy Scenario

• Scenario 1: I plan to buy Bitcoin today at an entry point around $103,700, with a target of $105,200. I will exit the buys around $105,200 and sell immediately on the rebound. Before buying on a breakout, ensure that the 50-day moving average is below the current price and the Awesome Oscillator is above zero.
• Scenario 2: Bitcoin can be bought from the lower boundary of $103,100 if there is no market reaction to its breakout, moving back to the levels of $103,700 and $105,200.

Sell Scenario

• Scenario 1: I plan to sell Bitcoin today upon reaching an entry point around $103,100, with a target to drop to $101,500. I will exit the sells around $101,500 and buy immediately on the rebound. Before selling on a breakout, ensure that the 50-day moving average is above the current price and the Awesome Oscillator is below zero.
• Scenario 2: Bitcoin can be sold from the upper boundary of $103,700 if there is no market reaction to its breakout, moving back to the levels of $103,100 and $101,500.

Ethereum

Buy Scenario

• Scenario 1: I plan to buy Ethereum today upon reaching an entry point around $3,459, with a target for growth to $3,524. I will exit the buys around $3,524 and sell immediately on the rebound. Before buying on a breakout, ensure that the 50-day moving average is below the current price and the Awesome Oscillator is above zero.
• Scenario 2: Ethereum can be bought at the lower boundary of $3,427 if there is no market reaction to its breakout, with a move back to the levels of $3,459 and $3,524.

Sell Scenario

• Scenario 1: I plan to sell Ethereum today upon reaching an entry point around $3,427, with a target to drop to $3,368. I will exit the sells around $3,368 and buy immediately on the rebound. Before selling on a breakout, ensure that the 50-day moving average is above the current price and the Awesome Oscillator is below zero.
• Scenario 2: Ethereum can be sold from the upper boundary of $3,459 if there is no market reaction to its breakout, moving back to the levels of $3,427 and $3,368.

The material has been provided by InstaForex Company - www.instaforex.com