There exists a substantial degree of uncertainty in the bitcoin space right now. Things have been pretty volatile over the last few days as far as the bitcoin price is concerned and exactly how the fundamentals of the space – scaling, transaction fees, that sort of thing – are going to play out going forward is the question everybody wants to know the answer to.
From a long-term holding perspective, this makes things pretty tough.
With that said, of course, we have maintained our intraday strategy from as far back as when price was trading in and around a couple of hundred dollars and just because there is correction risk right now doesn’t mean we are going to alter the way we approach things.
So, let’s keep our cool and push forward into the European morning session today. As ever, take a quick look at the chart below before we get started so as to get an idea where things stand in the bitcoin price right now and where we are looking to get in and out of the markets according to the rules of our intraday strategy.
The chart is a one-minute candlestick chart and it has our primary range overlaid in green.
As the chart shows, the range we are looking at for the session today comes in as defined by support to the downside at 17803 and resistance to the upside at 18318. That’s a pretty wide range so we can be relatively liberal with our risk management placements.
In line with this, if we see a close above resistance, we will enter long towards an immediate upside target of 18400.
Conversely, a close below support will have us in short towards a downside target of 17720. A stop loss on both trades around $20 or so just the other side of the entry will ensure we are taken out of the positions in the event that things turn against us.
Charts courtesy of Trading View