ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin experiencing a sell-off upon testing the previous medium-term upside target near 294, as we anticipated in our previous analysis. But despite the correction, the price managed to hold the in-term support level and, at press time, is attempting a bounce back. Overall, the price is still respecting this new range and we’ll be checking the levels one should keep its eyes on for today’s trading strategy. Have a look:
Bitcoin 4H Chart
The 4H BitFinex chart displays Bitcoin in a near-term bearish bias, for the price is trending above the 50 and 200H SMAs, but is still below the 100H one. The 4H RSI has also been dipped below the 60s upon the recent selling pressure. The same can be said about the MACD indicator which, too, has dropped below its signal line, while maintaining the overall positive bias.
As we enter another day of trading, the price action is looking toward repulsing the previous downward rally. The range we are looking for today has 286.13 fiat serving as its in-term support level, while the in-term resistance has been shifted towards 294.93 fiat. Our intraday strategy will keep on focusing on these two levels.
With saying so, we will firstly be looking for a break above the in-term resistance level, an action that would have us put a long position towards 299.46 fiat. On this trade, our stop loss will be near 292.49 fiat that will help us maintain our positive risk profile.
Conversely, a run towards the in-term support level will have us wait for a break below it, only to place a short towards the primary downside target near 280.99 fiat. On this trade, our stop loss will be near 288.34 in order to get us out of the market if bias gets invalidated.