24-08-2016
12:02 pm
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Coince - Bitcoin Investment Solution

Bitcoin Price Technical Analysis For 03/29/2016 – Buying Dips Worked




Bitcoin price moved higher after a minor correction as forecasted. Read more how BTC/USD can trade from the current levels.
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Key Points

  • Bitcoin price continued to move higher against the US Dollar, and my buy dips idea highlighted in yesterday’s post worked perfectly.
  • The price cleared a bearish trend line formed on the hourly chart (data feed from Bitstamp), and looks set for more gains.
  • The price almost reached $425, which is a resistance area and I think it’s time to book profits if you are in a trade.

Bitcoin price moved higher after a minor correction as forecasted. Read more how BTC/USD can trade from the current levels.

Bitcoin Price is all Bullish?

Bitcoin price surged higher and after a minor correction managed to gain bids for another upside move. I highlighted a plan of buying dips yesterday, which worked perfectly, and now I think it is time to book profits as BTC/USD is heading towards a major resistance area and it is not worth the risk.

The price stayed above a major bullish trend line formed on the hourly chart (data feed from Bitstamp), and also managed to break a minor bearish trend line on the same chart. BTC to USD almost tested the 50% Fib retracement level of the last wave of the $412 low to $427 high and started to move higher.

Bitcoin Price Technical Analysis

BTC/USD may be heading back towards the $427 high, but the bulls need to be careful, as there is a convergence forming. I think the best idea is to stay away for a couple of sessions, and wait for the price to stabilize, then we can analyze further. On the downside, the $420 level remains a major support area for the BTC in the short term.

Looking at the technical indicators:

Hourly MACD – The hourly MACD is in the bullish slope, suggesting buyer’s strength.

RSI (Relative Strength Index) – The RSI is positioned well above the 50 levels, which is a bullish sign.

Intraday Support Level – $420

Intraday Resistance Level – $425

 

Charts from Bitstamp; hosted by Trading View

Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.

Published by

Aayush Jindal

Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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