Black Pipper

Forex Dreamers

Forecast based on horizontal volumes for Bitcoin on 04/27/21.

1.How to make money on cryptocurrencies?

2. Analysis of volumes for Bitcoin futures from the Chicago Futures Exchange (CME).

3. Analysis of the trend.

4. Japanese candlestick analysis.

5. Conclusions. Statistics.

1. How to make money on cryptocurrencies?

To make money on cryptocurrencies, a trader needs to develop in three areas: trading system, risk management, money management. We continue to talk about conservative money management methods that can be applied.

Fixed percentage of capital method. In this method, the percentage of capital that will be at risk is selected. In the fixed amount at risk method, the amount at risk was selected, which did not change in the event of a change in the deposit. In the method of a fixed percentage of capital, the amount of risk will change in each new transaction, depending on how the deposit changes. The optimal risk value can be 0.25% -2% of the deposit. Such small values ​​will help to trade conservatively and withstand possible drawdowns.

For example, a deposit of $ 20,000, the risk per trade is equal to 2% of the deposit, respectively, the amount of risk is $ 400. If the deposit becomes $ 21,000, then the amount at risk will be $ 420.

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The lot in each individual trade will be calculated depending on the size of the stop loss. This method can be considered quite conservative, since in the event of a drawdown, the amount of risk will decrease as the deposit decreases, but the exit from the drawdown will be delayed.

2. Analysis of volumes for Bitcoin futures from the Chicago Futures Exchange (CME).

The bulls are not asking and pushing the price up, perhaps we will see a new rally. In such a situation, it is difficult to predict where the price will go even for a few days. Therefore, it is best to systematically trade and make a profit, regardless of whether the price rises or falls. Consider the levels of maximum horizontal volumes from the Chicago Futures Exchange. These volumes show the activity of major players.

04/23/21 – Maximum horizontal volume level (РОС – Point Of Control) – 49225

04/26/21 – Maximum horizontal volume level (РОС – Point Of Control) – 53675

ROC has moved upwards, the price is above the maximum volume level. There is an upward movement in the market. In such a situation, you can buy in terms of volume analysis.

3. Analysis of the trend.

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The second step in the analysis is to check the short-term, medium-term and long-term trend. It is worth making deals when the direction of all three trends coincides. To analyze the trend, in these forecasts, an exponential moving average is used:

Long-term trend – EMA 1152 (blue) on the H1 timeframe, this is an analogue of EMA 48 on the D timeframe;

Medium-term trend – EMA 288 (red) on the H1 timeframe, this is an analogue of EMA 48 on the H4 timeframe;

Short-term trend – EMA 48 (black) on the H1 timeframe.

The price rose above EMA 48 and EMA 288, but still below EMA 1152. While there is no strong trend in the market, sideways movement is developing. Therefore, today you can buy and sell from the point of view of trend analysis.

4. Japanese candlestick analysis.

Market analysis using Japanese candlestick analysis is the third step in this trading system. Let’s analyze yesterday’s daily candle:


Closing of the daily candle upwards, the candlestick is white. The high is higher than the high of the previous candle. Candlestick configuration – Trend candlestick, large body, small shadows. From the point of view of Japanese candlestick analysis, it is worth considering buying.

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5. Conclusions. Statistics.

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

General conclusion: 04/27/21 you can buy and sell bitcoin, as different types of analysis give different predictions.

Only statistics can show the effectiveness of any trading approach. According to these forecasts, transactions are made on a separate account, and open statistics of these transactions are provided. Transactions are made in four instruments: Bitcoin, Ethereum, Litecoin, BCHUSD, which are analyzed in the same way. Statement:


I continue to hold the deal to sell bitcoin.

The risk per trade is not more than 1%, this approach is conservative. Stop loss for this system is set behind the minimum or maximum of the signal day, depending on the direction of the deal. Profit is given the opportunity to grow without restrictions, since I do not set take profit. I accompany the trade by moving the stop loss beyond the extremes of new days.

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

Trade with the trend and you will be in the black!

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