ForexMinute.com — This week in the cryptocurrency market has started on a positive note for Bitcoin. In over the last 24 hours, the price action has invalidated its previous sideways pattern to form a brief upside correction. As a result, some key resistance levels have already broken and price is now testing the October’s peak near 248.96 fiat.
Nonetheless, the upside momentum still doesn’t confirm the longevity of a steady bullish period. Earlier, we have found a strong selling pressure near the said high, and therefore can expect something similar as Bitcoin retests it. However, we would also be expecting an extended uptrend, considering which we have drawn our ideal trading levels to get in and out of the market. What are they? Let’s check out:
Bitcoin 4H Chart
The recent price action has brought us into our previous range, where 245.89 fiat is serving as in-term support and 249.13 fiat as in-term resistance. These are the levels we’ll be watching out for today’s intraday breakout strategy.
At first, we’ll be expecting a corrective wave towards in-term support, going by Bitcoin’s historical behavior recently. This correction opens some decent short trade opportunities within the range, but one must keep its stop loss a point above its entry position to stay untouched from any unannounced volatility. With this said, we will also be placing a short position towards 244.98 fiat, our medium-term downside target, if the in-term support is broken. On this trade, our stop loss will be placed near 246.44 fiat.
Looking the other way, an extended uptrend — or a corrective bounce from support — certainly put our long trades on in-term resistance near 249.13 fiat. If, in case, Bitcoin breaks above this level, we’ll enter a similar position towards 252 fiat, our medium-term upside target, while maintaining our stop loss near 248.58 fiat.