📊How to use BTC reversal to open 1:20RR trades❓

٢١ سبتمبر ٢٠٢٢

Hi friends! Today i`ll show you the new NEW Bitcoin pattern which appear 1-2 years ago. You will see how it works and be able to use this pattern in your trading. It seems that you will need this knowledge soon, so read to the end and write comments if it was useful for you.

As we can see on the chart this pattern appear when the clear trend is come to an end and some consolidation starts.

✅ When bulls or bears start to lose their strength and liquidity collection starts to more and more often.

📊 What is the liquidity collection❓
Liquidity collection is a deliberate manipulation of whales (big players) when they push the price above or below local highs/lows in order to trap the traders who open the trades on the breakout of these levels (high or low) with limit pending orders.

Liquidity collection can be either a "spike" or a false breakout of the key level.

✅ The examples of liquidity collection:
🔥 $62 000, 14 Apr 21 - short
🔥 $30 000, 21 Jul 21 - long
🔥 $67 000, 9 Nov 21 - short
🔥 $17 600, ??? 22, long

🚩 A lot of local examples on lower timeframes, but i showed you only most clear of them.

📊 How to open a trade and get a max profit?
Look at the examples on the chart.
1️⃣ You need to identify local highs or lows and wait for a false breakout.
2️⃣ Open the trade after the price closes above the level (if long) or below the level (if short) and place a short stop loss above or below this key level.
3️⃣ Close a trade with 1:20-40RR.

🚩 Sometimes you can get 2-3 sl but in 1 trade you can make 2-3x and cover all loses.

✅ Now the BTC close to it`s local lows and liquidity collection below the $17 500 key level is highly expected. For example because of today FED meeting.

📊 On what timeframes can you use this pattern?
You can use this pattern on larger (1h-1d) and smaller (5-60m) timeframes. For example, you don't need to wait long for local highs or lows to use this liquidity collection.

I use the liquidity collection for scalping on smaller timeframes (5-60 min). Also, use it for the swings on 1-4h. So you can also earn using this pattern on different timeframes.

🚩 DOM and Footprint are the tools that helps me to identify the big BUY and SELL limit orders of the whales. Especially it helps to open a profitable trade on such false breakouts, when i see the huge limit wall above or below the key levels.

🔥Traders, is this idea was usefull for you? Write in the comments!

💻Friends, press the "boost"🚀 button, write comments and share with your friends - it will be the best THANK YOU.

P.S. Personally, I open an entry if the price shows it according to my strategy.
Always do your analysis before making a trade.