Daily Price Outlook
* Bitcoin is attempting to recover losses at $27,660, but faces strong resistance at $28,800 and $29,000 levels.
* Bitcoin has formed a base and is now recovering above the $28,000 resistance level, indicating a short-term bullish trend.
* A bullish trend line is forming with support near $28,200, while the $29,000 level represents a significant resistance level. The next major resistance levels are at $29,080 and $29,500.
The Bitcoin price is currently trying to recoup its recent losses at $27,660. The $28,800 and $29,000 levels, however, have become formidable obstacles. Bitcoin has formed a bottom and is now recovering above the $28,000 resistance level, signalling the beginning of a short-term positive trend.
Bitcoin's price was stopped in its tracks by strong opposition from the bulls at $28,800 and the 100 hourly Simple Moving Average (SMA). The dramatic decline in Bitcoin's value from the $29,975 swing high to the $27,665 low was also rejected close to the 50% Fib retracement level.
It has dropped below the 100 hourly simple moving average and the $28,800 mark.
On the hourly chart, however, a bullish trend line is forming with support near $28,200. The $28,800 level represents near-term resistance, with the $29,000 and $29,080 zones representing the following big resistance levels. If Bitcoin's price breaks above the $29,000 resistance mark, it may continue rising towards the $29,500 level.
The price may start falling again if it is unable to break through the $28,800 barrier level. On the downside, $28,200 and the trend line provide initial support, while $27,660, or the recent swing low, provides further cushion.
There is support at $27,200, and if the price keeps falling, it might drop as low as $26,500.
BTC/USD - Trade Idea
Entry Price – Sell 28750
Stop Loss – 29000
Take Profit – 27800
Risk to Reward – 1 : 3
Profit & Loss Per Standard Lot = +$950/ -$250
Profit & Loss Per Micro Lot = +$95/ -$25
Please click here to read and acknowledge our Trade Ideas Disclaimer before using these ideas in your strategies and trading. This document’s information, including forex signals and research, is for general informational and educational purposes only and does not provide specific financial, investment, or trading advice.
JOIN LONGHORNFX TODAY
24/7 live support, lightning fast withdrawals, guaranteed safe and reliable trading platforms with a true ECN broker.