ForexMinute.com — Last 24 hours in the cryptocurrency market encountered Bitcoin continuing with strict trading parameters, with in-term support and resistance at 238 and 243, respectively. Will it continue to range sideways like this, or will actually establish an extended bias? Let’s see.
Bitcoin 4H Chart
As you can see the 4H BitFinex chart above, the Bitcoin price is clearly trending above the 50-, 100-, and 200-H SMA, while the 4H RSI is also lingering around 50. At the same time, you can also notice MACD trending inside a positive territory, though has slipped below the signal curve. These indicators overall indicate a bias conflict in the market.
Considering this, we are hoping Bitcoin to hold the current range. There is however a fundamental factor that is circulating the market as a game changer for Bitcoin. It is the launch of Bitcoin Investment Trust’s shares trading that is expecting to add some enormous volume to Bitcoin market. If the demand goes up, we can at least expect price to establish a medium term bullish bias towards 249 fiat.
Under normal circumstances, the price will continue to test its in-term support near 238, with downside risk towards 230. It would be advisable for day traders to avoid placing any shorts, until the price hits below 237. Conversely, if Bitcoin manages to stay above the 238-level, it would ensure a good timing to enter the market, and play some long shots towards the next occurring stop loss near 240. Chunk out a decent profit!