ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin bouncing within the newly established parameters, while maintaining a moderate volatility to ensure attractive entry/exit levels. It is quite evident that the price is adjusting its value in parallel with the dollar, which was lately looking weak against its counterparts.
As we enter another day of trading, Bitcoin is hopeful to retain its sideways trend today, and the weekend that follows. We will still be keeping our eyes on the newly established levels to draw out a possible profit-making opportunity, despite of price direction. Have a look ahead:
Bitcoin 4H Chart
The 4H BitFinex chart clearly highlights the range Bitcoin has been respecting lately. We have a moderately strong in-term resistance near 254.32 fiat, and a very stealthy in-term support around 246.92 fiat. These are the levels we will be keeping our eyes on for today.
Meanwhile, do notice that the trend in the Bitcoin market has slightly shifted towards south. Bitcoin is trending above its 50, 100 and 200H SMAs, but the 4H RSI has dipped to 55. The MACD blue curve, in the meantime, has also slide below the saffron signal curve. These indicators jointly indicates a near-term bearish bias in the Bitcoin market.
We will therefore be emphasizing on downside levels first, where Bitcoin would once again attempt to break below the in-term support line near 246.92 fiat. A run below this line would instantly validate 241.04 as its primary downside target. On a short trade, we recommend our readers to place their stop near 247.68 to ensure a timely exit in case of a bias reversal. The chances of the price bouncing back to return in the current range are still very likely.
Conversely, a bounce back towards north certainly brings the in-term resistance near 254.32 in sight. We will still be looking for a break above the said line, which would instantly validate 259.05 as the primary upside target. On this trade, a stop loss —again near 247.68 — would save one from being chopped if the bias gets invalidated.