Bitcoin · Education SAMPLE POST — DRAFT

Bitcoin Price Structure: Planning Trades Around Volatility

How to read Bitcoin's ranges, breakouts and liquidity zones in a 24/7 crypto market — an educational discussion.

Range vs. Trend

Bitcoin often trades within a range for long periods before breaking out strongly. Marking the upper and lower bounds of the range makes it easier to spot false breakouts (fakeouts).

Liquidity Zones

Many stop-losses cluster just above or below obvious highs and lows. Price often sweeps these zones and reverses — so it is wise not to place your stop-loss in the most obvious spot.

Volatility & Position Size

Bitcoin's daily swings are larger than those of many Forex pairs. To keep the same level of risk, your position size needs to be comparatively smaller.