After some intense volatility towards the back of June and the start of July, it appears that Bitcoin to be settling in a narrow trading range between 20-25 points. Whilst this may not to be the liking of many traders profiting from its volatility, range traders, particularly in binary options, will be pleased as support and resistance levels have been forming as evidenced in the chart. A quick glance ahead and one can see there are no obvious triggers in the near term, and an immediate breakout on either side of the support and resistance levels should be ruled out. At this point only range trading with a better Profit/Loss ratio is advisable with the price currently at $618.00, having fallen 0.03% over the course of today’s trading.
When looking at the hourly chart, BTC/USD is currently consolidating near the support S1 level, which provides a great opportunity to go bullish (BUY). For those traders wishing to take long positions, entry points are advisable around the 6.16- 6,.17 mark with a target of 630 by placing a stop-loss just below the S1 level. The downward momentum appears to be weakening and thus, taking short positions at the current level is something the YesOption team of analysts do not advise. Those looking to be taking short term positions are advised to keep updated with the latest fundamental news and developments regarding Bitcoin and other digital currencies because, whilst looking for a break out from the existing range any announcement may serve as a trigger for a possible breakout.
Looking at the fundamental news, Bitcoin Shop announced an investment of $150,000 in Expresscoin, a cryptocurrency buying, meanwhile LinkedIn co-founder and Greylocks Partners partner Reid Hoffman suggested that he is extremely focused on Bitcoin and that investors should be viewing it in 5-year terms.