ForexMinute.com — Last 24 hours in the cryptocurrency market displayed Bitcoin attempting a speedy upside recovery which eventually brought price out of the previous congested and, later on, downside pattern. As the European session still in play, we will be checking out the next important levels that could bring out some nice profitable trades for you all. Let’s have a look at the technical indicators first.
Bitcoin 4H Chart
As you can see the 4H BitFinex chart above, Bitcoin seems to in a mood to pursue its upward correction further, for the price has not slowed down near the previous in-term resistance level 233.76 (it is now acting as the in-term support). This certainly has brought price much closer to the 50-H SMA (the black curve), erasing some of the bearish sentiments at last. The 4H RSI meanwhile is situated right above 50 — a neutral position, while the MACD blue curve is visible inside the negative territory. The technical indicators overall indicates a neutral scenario, with a little inclination towards the bulls.
As this point of time, we believe Bitcoin to hold a solid floor near the in-term support at 233.76 fiat. A bounce from this level has certainly brought the 236.71 upside risk back in sight. If this level is crossed, the pressure will automatically fall on the secondary upside target near the 238-240 area. If traders are planning to place long positions towards the aforesaid risk levels, it is recommended to place you stop losses somewhere near 235 to exit the market in case of a bias invalidation.
Conversely, an upside bias invalidation opens short opportunities for traders where they are advised to place their downside positions near the aforementioned in-term support, with a stop loss placed somewhere near 234. A break below 233.76 would bring 231.59 in sight that would open some attractive long positions toward the current in-term support — putting us back in the range cycle.