ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin retesting the current channel resistance and support consecutively to produce a breakout.
The uneasiness in Bitcoin trades meanwhile were also reflective in the altcoin markets, especially of Litecoin and Dogecoin that dropped 0.5-1% in over the last 24 hours. The close price association however didn’t follow in the case of Dash (aka Darkcoin) that surged over 7% amid a notable buying pressure.
In last few hours, Bitcoin eventually fell a little towards south after breaking below the 261-support briefly and is now attempting a consecutive pullback.
BTC/USD 4H BitFinex Chart
After being stuck for long time inside a consolidation channel, the BTC/USD is finally attempting a breakout towards the depressing side. As you can see the chart above, the Bitcoin price has notably been subjected to impatient trades — a sell-off — that is making it retest the Bollinger Band support near 256, with a downside risk towards the previous bottom 253.
The bearish sentiment meanwhile is making its mark as price continues to trend below its near-term MA, while the RSI once again has failed to sustain inside a neutral zone. The MACD blue curve, also inside the negative territory, is further intensifying the prevailing bearish bias in the market.
At this time, traders are recommended to set their stop losses near 256 as a part of caution. A break below this level will open ways for price to retest 253 — a point with a high buying pressure. We will though suggest traders to hold their horses around this point, as Bitcoin will continue to struggle while validating a medium-term bias. In case the RSI curves toward north around 253 or 256, you could place long positions towards 256 and 261, respectively.