ForexMinute.com — Last 24 hours in the cryptocurrency market saw Bitcoin in a relatively calm mood. The price, as we predicted in our previous analysis, managed to respect its current range, and thereby consolidated sideways this entire time. There also seems to be a drop in the previously prevailing volatility, a reason of which can be a fading Greece hype, or the current software issues in the Bitcoin network.
As we enter another day of trading, with Asian session in play and European one minutes away from starting, we can surely hope to see some action throughout the day. But what will the levels we’ll be watching out for today, let’s check out:
Bitcoin 4H Chart
The 4H BitFinex chart above displays Bitcoin in a moderate bullish bias, awaiting corrections on the first chance. The price, as you can see, is clearly trending above the 50, 100 and 200H SMA and the RSI has been bouncing between 52 and 57 from the last 24 hours. The MACD indicator, while maintaining the positive bias, has come a little below its signal curve. All these indicator points to a neutral selling/buying pressure in the market.
We can therefore expect price to bounce between the preset in-term support and resistance levels — between 264.84 and 273.9, respectively. Borrowing from the overall bullish bias, we will first be entering a long position towards 272.76 — the intraday high — which ensures some decent profits under its sleeve. Readers can however place a position towards the in-term resistance line, but are recommended to place their stop loss a dollar below their entry position. This is due to the expected breakout attempts that might chop risky trades without a blink.
Saying so, a run down towards amid a neutral bias is possible. At first look of a reversal, we will be entering our short position towards the in-term support line 264.84 fiat. A break below this level however validates 261.79 as our medium-term downside target. In this trade, we will be keeping our stop loss near 265.61 fiat to exit the market in case of a bounce back.