ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin serving its in-term resistance level near 235.92 fiat, where it briefly lost its upside momentum for a while and dropped a little in the name of correction. Prior to that, Bitcoin was smoothly trending upwards, a trait which it still promises to hold until the temporary support near 233.44 is broken. Let’s have an elaborated look at these levels upon understanding the current technical indications.
Bitcoin 4H Chart
The 4H BitFinex chart above continues to display Bitcoin in a near-term bullish bias. The price is visibly above the 50, 100 and 200-H SMA curves, and the 4H RSI is also trending inside a buying area — between 65 and 70. The MACD indicator meanwhile is in a positive area, adding further to the moderate buying mood in the Bitcoin market.
We are therefore keeping our eyes on the current in-term resistance near 235.92 and the temporary support line near 233.44 as the key levels for today’s trading. As we are trading somewhere in the mid-range of these two levels, we are going to wait for a break towards either levels to place out position.
On the upside, we will be looking if Bitcoin makes a break above 235.92 to establish 238.62 as our primary upside target. On this trade, we will keeping our stop loss somewhere near 235.65 to maintain our positive risk profile. It would also help us to exit the market on time in case the upside bias gets invalidated.
Speaking the other way around, breaking below 233.44 will validate 231.25 fiat as the current in-term support level. Once again, we will be placing our stop loss somewhere around 234.15 to avid being chopped off in case of bias invalidation. A break below the in-term support will meanwhile establish 229.48 as the primary downside risk level. The trade indeed opens some great short positions, but make sure to maintain your stop above 231.35 all this time.