ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin maintaining its prevailing neutral bias by trending inside the predefined trading range we discussed in our previous analysis. As far as our intraday strategy is concerned, our expectations of a relatively flat price movements stayed true for another day, for Bitcoin was unable to establish any breakout amid a moderately volatile day.
Bitcoin 4H Chart
The 4H BitFinex chart displays Bitcoin in a neutral bias, even when the price is notably above its 50, 100 and 200H SMAs. The trouble however lies in the near-term sluggishness in the market, an impact of which can be seen clearly in a flat RSI chart. The MACD indicator, while maintaining its positive bias, is struggling to stay in its tropospheric best. All these technical indicators indicate an equally weak selling and buying pressure, where price is constrained within a predefined limit — with 292.80 as its in-term resistance and 284.86 as its in-term support level.
We are therefore waiting for price to establish a certain bias before putting any serious money into the market. Like the last time, we will first be looking for Bitcoin to break above 292.80 fiat, in order to validate 296.87 fiat as our primary upside risk. We will meanwhile watching for price to invalidate its upside bias any moment, and keeping that in mind, will place our stop loss near 289 fiat.
Conversely, if we get a run down towards the in-term support level near 284.86, we will placing a short entry towards the primary downside bias near 278.64. In this trade, our stop loss will be near 286.37 fiat to exit the market without facing a haircut.