empty
06.05.2021 12:03 PM
Bitcoin forecast for May 6, 2021

This image is no longer relevant

1. How to make money on cryptocurrencies?

2. Volume analysis of BTC from the Chicago Mercantile Exchange (CME).

3. Trend analysis

4. Japanese candlestick analysis

5. Conclusion. Statistics

1. How to make money on cryptocurrencies?

If you want to make money on cryptocurrencies, you should refrain from using aggressive trading approaches, especially if you are a beginner. The best thing to do would be to apply a traditional method. Let us take a look at aggressive money management approaches that should only be used by experienced traders.

Locking is an aggressive money management strategy. According to this approach, a trader does not close a losing trade but opens a new one in the opposite direction. Thus, the position is locked, and a buy and a sell trade are open at the same time. A lock is several positions open for one instrument in different directions.

This image is no longer relevant

On the chart above, there is an example of how a lock is used. We open a long position, hoping that the bull trend extends, but do not place a Stop Loss. When the trend reverses, we open a short position, thus minimizing losses.

Any lock, if held for a long time, will be cancelled by a commission. If a position is held overnight, a commission will be charged, which means that losses will expand, albeit at a much slower rate. That is why there is no need to hold locks for a long time.

Thus, locking is an aggressive and complex money management strategy. It should only be used by professional traders.

2. Volume analysis of BTC from the Chicago Mercantile Exchange (CME)

Bitcoin is still moving sideways. Let us consider the levels of the highest traded volume from the Chicago Mercantile Exchange (CME). These levels indicate bull activity.

04.05.21 – the level of the highest traded volume (POC – PointOfControl) – 55,730

05.05.21 – the level of the highest traded volume (POC – PointOfControl) – 57,315

The POC has moved up. The price is below the POC. The market is in the sideways trend. Both long and short positions can be considered based on volume analysis.

3. Trend analysis

Our second step is to check the short-term, the mid-term, and the long-term trends. You can enter the market when all three trends are in line. In this forecast, trends are analyzed with the help of an exponential moving average:

Long-term trend – a blue EMA 1152 on the H1 chart, which is an alternative to EMA 48 on the D1 chart;

Mid-term trend – a red EMA 288 on the H1 chart, which is an alternative to EMA 48 on the H4 chart;

Short-term trend – a black EMA 48 on the H1 chart.

This image is no longer relevant

EMAs start heading up, indicating the possibility of the upward trend. That is why you should enter long positions according to trend analysis.

4. Japanese candlestick analysis

Japanese candlestick analysis is the third step of this trading strategy. Let us analyze yesterday's daily candlestick:

This image is no longer relevant

The white daily candlestick has closed upward. Extreme points are outside the previous candlestick. It is the Absorption candlestick pattern. Yesterday's candlestick is bigger that the prevoius day's one. Based on Japanese candlestick analysis, you should consider entering long positions today.

5. Conclusion. Statistics

  1. Volume analysis – BUY/SELL
  2. Long-term trend – BUY
  3. Medium-term trend – BUY
  4. Short-term trend – BUY
  5. Japanese candlestick analysis – BUY

Conclusion: You can both buy and sell BTC on May 6, since various analyses provide different forecasts.

Only statistics can reveal how efficient a trading strategy is. In this forecast, trades are carried out in a separate account. Trades are conducted in four instruments: Bitcoin, Ethereum, Litecoin, and BCH/USD. 3-months gains: 12.1%. Drawdown: 4.88%. Statement:

This image is no longer relevant

I do not open new trades due to market uncertainty.

The risk per trade is no more than 1%. A Stop Loss is placed beyond the high/low of the day, depending on the direction of the trade. A Take Profit is not set. A Stop Loss is moved beyond the extreme points of the upcoming sessions.

Since trading is carried out on daily charts, this recommendation is relevant throughout the day.

Trade with the trend and you will generate profits!

Seleccione el marco de tiempo
5
min
15
min
30
min
1
hora
4
horas
1
día
1
s.
Gana con los cambios en el valor de las criptomonedas con InstaForex.
Descarga MetaTrader 4 y abre tu primera operación.
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    UNIRSE AL CONCURSO

Recommended Stories

El Bitcoin mantiene posibilidades de subir y apunta a los $100 000

Ayer, el Bitcoin subió con bastante fuerza, superando el nivel de $94 000, aunque no logró consolidarse por encima de él. El Ethereum también creció con fuerza, pero luego

Jakub Novak 08:25 2025-04-24 UTC+2

Recomendaciones para operar en el mercado de criptomonedas el 24 de abril

El Bitcoin no logró consolidarse en el nivel de $94 000 y se corrigió hacia la zona de $92 500, donde se siente más cómodo. El Ethereum, tras haber alcanzado

Miroslaw Bawulski 08:25 2025-04-24 UTC+2

El Bitcoin apunta al regreso de la tendencia alcista

Ayer el Bitcoin subió con bastante fuerza. Tras superar el nivel de $90 000, la primera moneda digital se dirigió hacia la zona de $94 000, donde desaceleró su crecimiento

Jakub Novak 13:13 2025-04-23 UTC+2

Recomendaciones para operar con el Ethereum el 23 de abril según el sistema ICT.

El Ethereum apenas logró recuperarse hasta el FVG más cercano y durante dos semanas no pudo seguir subiendo. Sin embargo, el Bitcoin finalmente arrastró hacia arriba a su "hermano menor"

Paolo Greco 07:33 2025-04-23 UTC+2

Recomendaciones para operar con el Bitcoin el 23 de abril según el sistema ICT.

El Bitcoin continuó su movimiento ascendente el martes, lo que generó muchas preguntas. Sin embargo, recordemos que el análisis técnico no puede proporcionar señales con una precisión del 100% todo

Paolo Greco 07:33 2025-04-23 UTC+2

Recomendaciones para operar en el mercado de criptomonedas el 22 de abril

El Bitcoin ha vuelto a la zona de los $88 000, mientras que el Ethereum está mostrando ciertos problemas. La venta masiva de ayer durante la sesión estadounidense

Miroslaw Bawulski 08:49 2025-04-22 UTC+2

Recomendaciones para operar con el Bitcoin el 22 de abril con el sistema ICT.

El Bitcoin mostró un crecimiento significativo el lunes, lo que pone en duda la continuación de la formación del ciclo bajista. El precio se acerca a los dos últimos máximos

Paolo Greco 07:36 2025-04-22 UTC+2

Recomendaciones para operar con el Bitcoin el 21 de abril según el sistema ICT.

El Bitcoin se activó durante el pasado fin de semana, sin que hubiera razones ni fundamentos concretos para ello. Simplemente el mercado volvió a lanzarse a comprar la primera criptomoneda

Paolo Greco 08:45 2025-04-21 UTC+2

Recomendaciones para operar en el mercado de criptomonedas el 18 de abril

El Bitcoin y el Ethereum permanecen dentro de sus canales laterales y la incapacidad para salir de estos rangos podría poner en peligro las perspectivas de una recuperación más amplia

Miroslaw Bawulski 07:30 2025-04-18 UTC+2

El interés por el Bitcoin y el Ethereum está regresando

Mientras el Bitcoin y el Ethereum aún no logran encontrar la fuerza para volver al mercado alcista, asustando cada vez a los inversores y traders con fuertes retrocesos hacia

Jakub Novak 07:29 2025-04-18 UTC+2
¿No puede hablar ahora mismo?
Ingrese su pregunta en el chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.