ForexMinute.com — Last six days and 23 hours in the cryptocurrency market saw Bitcoin maintaining its prevailing flat action. The trading was relatively active today than what we have seen in the gone week, but remained stuck between a constrained range. It is quite evident now that the price is in direction conflict, which normally ends up turning into a decline — as per the past’s price action.
Our intraday breakout analysis, meanwhile, sticks to its old routines in such times. After watching Bitcoin tirelessly trending sideways for too long — and Bollinger Bands’ constantly reducing gap — we have decided to revise the range we discussed in our previous analysis. It is clear that the price is in no mood to attempt any influential action, and we just wish to stay away from the market in this time of crisis.
For the rest of the daredevils, who still wish to trade between this calm storm, our analysis today is more like an advice. So stay alert.
Bitcoin 4H Chart
The 4H BitFinex chart above displays Bitcoin in a near-term bias conflict, for the price remains to be directionless and near its 50H SMA trendline. The 4H RSI, due to a little $4 upward action, has jumped to near 59 — still undependable. The MACD indicator is only millimeters above its normal line. All these technical indicators are as confusing as the Bitcoin price action.
Despite the lazy hours, we would want our readers to focus on our newly revised trading range, in which 231.79 fiat serves as our in-term resistance and 225.69 fiat as our in-term support level. These are the levels you should be watching closely.
At first, we will be looking for price attempting to break above the in-term resistance level, only to validate 234.76 fiat as our medium-term upside target. A further upward action would bring 239.14 fiat back in sight. In both the cases, our stop loss would remain to be near 230.13 fiat.
Looking at the other way around, a run towards the in-term support would have put a short towards 222.48 fiat, our medium-term downside target. We would urge our readers to avoid placing any further position, as any sort of downward movement can result into a breakout. Meanwhile, place your stop loss near 227.11 fiat to exit the market in case of a bias reversal.