ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin extending its upside momentum further and breaking above August’s peak. The uptrend might continue further but is likely to face some pullback while approaching August’s high near 283 fiat.
This is however a great deal for intraday traders looking to take out a decent profit from current price volatility. The levels we discussed in our previous analysis well played off and we were able to take a decent return from out long position towards the primary upside target (now broken). As we now enter another day of trading, our previous range has been invalidated following the recent rally, and we will be required to recreate our entry/exit levels. What are they? Lets check out:
Bitcoin 4H Chart
As you can see the 4H BitFinex chart above, we are now in the midst of a new range, where 257.11 is serving as new in-term support and 261.52 fiat as in-term resistance. The prevailing uptrend is hinting towards few more highs, but an overall technical indicator points to a corrective wave as well. We have therefore settled our stop losses at place to ignore any kind of surprise market behavior.
At first, we are looking for price to cross 260 — a psychological barrier — to validate in-term resistance as our next long target. In case the price manages to cross above the said level, we will be looking to enter a long towards 263.00 fiat, our medium-term upside target. On this trade, our stop position would be maintained at 256.52 fiat.
Looking the other way, a pullback from either of the upside levels would influence to place a quick short towards the in-term support line. We will refrain ourselves from placing any further short trades at the time of bearish corrections.