61.8% Bitcoin Fib Extension Level
We use Fibonacci extension levels to estimate where the bitcoin trend bitcoin trading price movement will reach. There are 2 important Fibonacci extension levels: 61.8% Fibonacci Extension Level and 100% Fibonacci Extension Level - these fibonacci extension levels are used for setting bitcoin trading taking profit orders.
61.8 Fibonacci Extension Level
61.8 Fibonacci Extension Level is the most commonly used bitcoin profit taking level when trading using the Fibonacci Extension Technical Indicator.
To draw Fibo Extension levels on the btcusd chart we wait until the bitcoin price retracement is complete & the bitcoin price starts to move in the original direction of the Bitcoin trend. Where the bitcoin price retracement reaches is used as bitcoin chart point 3. Fibonacci Extension Technical Indicator is plotted using three bitcoin chart points as the examples displayed below of how to plot the Fibonacci Extension Levels Indicator.
The Fibonacci extension example illustrated below shows the 3 Cryptocurrency Chart Points where the Fibonacci extension bitcoin indicator is drawn - marked as Cryptocurrency Chart point 1, Cryptocurrency Chart point 2 and Cryptocurrency Chart point 3.
Cryptocurrency Chart point 1 is where the bitcoin trend started, Cryptocurrency Chart point 2 is where the bitcoin trading price pulled back & retraced - Cryptocurrency Chart point 3 is where the bitcoin price retracement reached as shown on the Fibonacci Extension Areas Technical Indicator example shown below.
The First Fib Extension Level is the 61.8 Fibonacci Extension Level shown on the Fibonacci Extension indicator example Below Used to Set Take Profit Bitcoin Orders
How Do You Read 61.8% Fibonacci Extension Level
Please note where these Fibonacci Extension areas are plotted on the btcusd chart - Fib Extension levels are plotted above the Fibonacci Extension indicator - these are the btcusd chart points where a trader will set the bitcoin take profit orders using these Fibo Extension Levels - 61.8% Fibonacci Extension Levels.
Interpret 61.8% Fibonacci Extension Level
