BITCOIN PIT

I am probably repeating myself now, but bitcoin is a trader’s heaven. Every time it moves, it does so in a big way. Nicely painted double-top price formation supported by the Chinese crooks (btw, that announcement timing was not a coincidence) has resulted into a steep decline and daily up trend has changed into down trend. My guess is the bottom lies  at around $400 at least. So that means I am not much interested in buying this week. Actually I am still short from 840.

Buy: 800  SL: 746  TP: 840, 950
Sell:  745  SL: 800 TP: 655; 550; 400

The price of bitcoin has been steadily (or stellarly?) rising and quickly correcting in the last weeks. That’s why I don’t expect any sudden flash crash in the coming days. Just see the chart: The break through $260 was successfully tested from above a few days later, $500 was tested the day after the break, $750 two days after+ this weekend’s correction. The only question for these days is what about $1000? The first test failed as yesterday daily candle closed below. But there’s a huge buying pressure under and any attempts to suppress the price deeper down will end up with a big spikes pointing toward higher price. Am I saying the price can’t fall? Not at all! $750 can be tested again, maybe with a fast spikes below. The $1000 is a big big level and one shouldn’t expect the price passing through it smoothly. When this definitely happens daily moves will increase again by 10s of Btc.  BTC/USD can go through some consolidation period before that. Or not…

Buy: 989    SL: 940   TP: 1150, 1250
Sell: 795    SL: 875   TP: 760, 700, 650  (Bitstamp data)

 

Breaking through $750 has opened up the way towards the big $1000 mark. Down correction is over. Hesitating to sell again.

Buy:  now or above 843      SL: 785        TP: 970
Sell:   746.50                         SL: 786        TP: 685; 620

 

Be careful this week as the big $500 level is around the corner and everything can happen. My personal guess, if you’d asked me, is that the market will break $500. I can’t see any sign of weakness there right now. Of course it doesn’t mean the situation can’t change in a second.
Again, I would be very, very hesitating to open a short position at this phase. If not a clear up-move I would expect a choppy trading at worst before attacking $500.

Buy: 480   SL: 445    PT: 500; 520; 560
Sell: 430   SL: 460    PT: 420; 400; 390

 

The BTC/USD market looks like the bull party is not over yet. If today’s candle finishes somewhere around these levels, it would be quite bullish set up for the following days. Firstly because of the bullish shaped candle alone, secondly because of testing former maximum high that is now the support and it has held.
After $330 (Bitstamp) the nearest big level sits at $500. Of course when $330 would given up, a downward pressure can be renewed and $260 comes into play again.

Buy: 330 or now        SL: 300    PT: 360; 410
Sell: 260                      SL: 300    PT: 240; 230