Bitcoin Price Watch; Responding To The Dip

In this morning’s analysis we noted that the bitcoin price had been pretty good to us over the twenty-four hours preceding our coverage and that – on the back of the action we saw overnight – we were able to jump in and out of the markets on a few separate occasions, drawing a pretty substantial profit on each.

We also noted that we’d love to see a solid break of the $6,000 level during the European session so as to really get things moving to the upside and to reinforce the upside action we were looking for over the coming few weeks.

As it turns out, we didn’t get exactly what we wanted.

Well, not fully.

Price started to move during the early session and we entered on a quick upside position on the break of a level we had predefined as part of this morning’s coverage. Things quickly reversed, however, and we ended up getting chopped out of the position for a small loss.

That’s what we have stop losses for, right?

Anyway, we are now trading a little lower than hope but – as we move into the late session tonight – we’re hoping we can jump in on a turnaround position.

Before we get to the specifics, take a quick look at the chart below so as to get an idea where things stand and where we are looking to trade in and around any volatility going forward. It’s a one-minute candlestick chart and it’s got our range overlaid in green.

As the chart shows, we are working with a range defined by support to the downside at 5688 and resistance to the upside at 5769.

If we see price close above resistance, we’ll jump in long towards an upside target of 5810. Conversely, a close below support will have us in short towards a downside target of 5640.

Let’s see how things play out.

Charts courtesy of Trading View

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