ForexMinute.com — Last 24 hours in the cryptocurrency market encountered a smooth bullish correction for Bitcoin, following which the price broke above the previous consolidating channel.
The altcoin market meanwhile also reacted fruitfully to Bitcoin’s sudden upside bias movements. In over the last 24 hours, Litecoin and Dogecoin managed to surge by 1% each, while Dash (Darkcoin) rose by 7% within the same time.
BTC/USD 4H BitFinex Chart
As you can see the chart above, the price seems to have established a new pullback point near 245, while treating 250 as a psychological support like previous times. At the same time, the Bitcoin price seems to have been treating 257 as its short-term resistance level, as we can see it forming higher highs towards the aforesaid level. At the same time, 257 is the same point that has acted as a strong upside risk twice in last few days.
The price therefore is trading in midway, still looking forward to extend its prevailing near-term bullish bias. The technical indicators meanwhile are displaying a favorable picture, with Bitcoin trending above the black 50H curve, while RSI testing 60 as its next barrier point. In the meantime, you can also notice MACD blue curve floating above the signal line — a positive territory; therefore establishing a near-term bull run.
According to the current Bitcoin price movements, we expect our readers to check out 257, a break above which will open long positions towards the primary upside risk near 260. In case the bias invalidates, setting your stop loss somewhere below 257 will ensure a timely exit.
Conversely, if Bitcoin price is unable to pass above the 253 mark, we can expect price to retest 250 as its next support which, if broken, would put downside pressure on 244. Any further bearish correction will bring 242 back in view. In this case, setting your stop loss just above 250 will make sure to generate small risk reward.