ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin trending within strict parameters, while trying to break above the prevailing in-term resistance level. It occasionally formed lower lows, but an overall buying pressure near downside levels maintained the corrective upside bias. Let’s have a detailed look:
Bitcoin 4H Chart
As you can see the 4H BitFinex chart above, Bitcoin is still maintaining an upside correction mood — with price moving above the 50- and 100-H SMA. The 4H RSI meanwhile is just shy of hitting 50, indicating a neutral pressure in the Bitcoin market. The MACD blue curve however has dipped further below the sign curve, and is currently attempting to float above the normal line. The indicators overall indicate a near-term bullish bias in the market.
It simply means that Bitcoin is currently sighting 238.57 as its current in-term support, looking toward breaking above it to establish a stronger upside bias. It would be safe to place your long positions towards the primary upside risk new 240, in case the price breaks above the in-term resistance. However, make sure to set your stop loss near 237.50 in case the upside movement invalidates.
Conversely, if Bitcoin tends to face selling pressure near the current channel resistances, it would open some decent short position to earn a decent reward. If the current resistance level repels down the upside attempts, the price would simply target the current in-term support near 236.07. If price hints to go below this levels, the primary downside risk will come towards 235.41. If you are planning to go short towards the primary risk, it would be advisable to place your stop loss near — once again — 237.50, in case the bias gets invalidated.