Earlier this morning, shortly before the markets open in the UK, we published our twice-daily bitcoin price watch analysis piece. In the piece, we highlighted the levels that we would be looking at during the day as price action matured, and looked at where we would get in and out of the market in the event that the bitcoin price reached or broke through these levels according to our intraday breakout strategy. Now as we head into the US afternoon, and beyond into the Asian overnight session, are we still looking at the same levels, did we manage to get into the market today on a break out, and what will we be looking to trade going forward? Take a quick look at the chart.
As you see from the chart, we get a break below the level that we had slated as in term support briefly on a slide downwards, but we did not close below support on the 15 minute chart and so we remained flat as far as a position was concerned. However, we quickly ran up to break through in term resistance at 248.92, and a close above this level put us long. We’ve got quite a tight stop loss on this one, just shy of 247 flat, and we are now trading back within range just ahead of the stop, so it is looking like we may get taken out of the trade for a small loss. However, for those not yet active, the levels we presented this morning remain the ones to watch. The aforementioned 248.92 is in term resistance and 242.07 presents us in term support.
If we do break above 248.92 once again, a long entry towards an initial upside target of 257.36 would be valid, with a stop loss – as mentioned – somewhere around 247 flat. An aggressive short-term trade could be from current levels towards in term support at 235.95, with a stop just ahead of daily highs at 251.5.
Charts courtesy of Trading View