FIBONACCI: THE MOST IMPORTANT LEVEL WHERE THE PRICE USUALLY BOUNCES 📊💵🔥
The Fibonacci retracement is a key tool for identifying potential price bounce points.
Although many levels are useful, there is one that stands out for its effectiveness across all timeframes.
1. The most respected level: 61.8%
The 61.8% level is considered the strongest level of the Fibonacci retracement.
In bullish or bearish trends, this level often acts as a zone where the price reacts strongly.
2. Why it works so well
• Aligns with supply or demand zones
• Usually aligns with supports and resistances
• Related to the golden ratio
• Institutional traders also take it as a reference
3. Signals of a valid bounce at 61.8%
• Clear rejection candles
• Increase in volume
• Staying within the trend structure
• Confirmation in higher timeframes
4. Common mistakes when using Fibonacci
• Drawing it incorrectly
• Entering without waiting for confirmation
• Using it without combining with structure and liquidity
• Trading just because it hit a level
Conclusion:
The 61.8% level is not magic.
It is a zone where structure, liquidity, and natural market behavior coincide.
When used correctly, it is one of the best points to look for entries.
#Fibonacci #priceaction #TradingCripto $BTC
