Earlier this morning we published our twice-daily bitcoin price watch analysis piece. We highlighted a few of the key levels that we would be keeping an eye on in the bitcoin price throughout today’s session, and suggested some the primary targets we would be looking at if price reached or broke through these levels. Oftentimes we trade a pure breakout strategy – i.e. waiting for price to breach in term support or in term resistance (to the downside and upside respectively), but with the recent range bound action and the relatively wide range we have seen, it has been possible to place some aggressive intra-range trades to draw profit from this action. With this said, what are the levels were keeping ane eye on now, and has anything changed from this morning as far as targets are concerned? Take a look at the chart.
As the chart shows, the answer to the question we just asked is now. We are still looking at in term support at 224.10, and resistance at 226.97. We traded below support around 12 o’clock midday (GMT) but we were unable to close below it on the 15 minute candlestick chart, and so did not trade our short entry. Instead, we bounced from this level, and we are now trading mid-range around 225.30.
We will look for a run back down towards in term support to offer us two options. The first, if we get a break below that level, is a short entry towards 222.56. Second, is if we get a bounce, we will go long towards 226.97. Looking the other way, if we get a run up towards 226.97, we will look for a break above this level to validate a medium-term upside target of 230 flat, with a stop loss somewhere around 225.80 ensuring we are taken out of the trade in the event of a bias reversal.
Charts Courtesy of Trading View