Bitcoin Price has dropped lower and, at the time of writing, is testing the critical “psych” level of $200.
This analysis is provided by xbt.social with a 3 hour delay. Read the full analysis here .
Bitcoin Price Analysis
Time of analysis: 06h15 UTC
Bitstamp Daily Chart – 05h00
Earlier today, the above chart posted at xbt.social , showed the looming $200 target.
RelatedNews
Bitstamp Daily Chart – 06h30
By 06h30, the Bitstamp chart is at $206 as the Bitcoin price tests the important $200 level for support.
Some of the futures charts have already breached $200 but, at the time of writing, have pushed back above in jittery trade. Traders, who are short selling the market (making profits by betting price will decrease further) are greedy for lower lows. The frenzied trade is ramping up volatility and should price drop below $200 we would anticipate some that lurking buyers would start entering the market with large buy orders.
Summary
Bitcoin price has reached our $200 price target. Lower lows are possible. This is not the time to eagerly bet on direction. Wait, observe and look for the signs of confirmation that a bottom has been struck:
- Buying Volume ramps up
- Price advances strongly from its lows in 5 waves (visible on the 5-minute chart) then drops lower without making a new low before launching strongly toward $300.
Anticipate spikes to the downside and place buy orders accordingly. A spike to $160 (Bitstamp) is a possibility.
Long-term Buy-and-Hold investors may choose to strengthen their position with a 25% allocation at $200. Set aside capital to purchase at lower prices (if they print), else, more prudently, use the capital to purchase once a change in trend has been confirmed.
Analysis updates continue at xbt.social where constructive commentary and technical analysis is looking for trade opportunities with a high probability of success.
Predominant selling over at BitFinex:
Click here for the CCN interactive price chart.
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This analysis is provided by xbt.social with a 3 hour delay. Read the full analysis here .
Readers can follow Bitcoin price analysis updates every day on CCN.
Disclaimer
The writer trades Bitcoin. Trade and Investment is risky. CCN accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.
Bitcoin price charts from TradingView.
Images from Shutterstock.
