Loading...
Traders Beware!
Warning!

Fraudulent websites posing to have a connection with JFD

Please be aware of fraudulent websites
posing as JFD's affiliates and/or counterparties

More information
by Charalambos Pissouros

Will Bitcoin Exit the Range Soon?

BTC/USD has been trading in a sideways manner between 5700 and 6900 since March 19th. At the time of writing, the crypto is trading quietly in the middle of this range, raising questions as to whether it could make a strong directional move soon. In any case, as long as it continues to trade between the aforementioned boundaries, we would maintain a neutral stance.

In order to start examining whether the bears have gained the upper hand, we would like to see a strong break below the lower end of the sideways range, at around 5700. Such a dip would confirm a forthcoming lower low on the 4-hour chart and may initially pave the way towards the low of March 18th, at around 4985. If the bears are not willing to stop there, a break lower may set the stage for the low of March 16th, near 4400, the break of which could extend the slide towards the 3750 zone, marked by low of March 13th.

Shifting attention to our short-term oscillators, we see that the RSI runs below 50 and points down, while the MACD lies fractionally below both its zero and trigger lines. Although both indicators detect some downside speed, we stick to our guns that we will wait for the exit out of the range before we trust a decent directional movement.

On the upside, a move above 6900 may ring the alarm bell for the bulls, who could first drive the battle towards the 7600 area, defined as a resistance by the inside swing lows of March 9th and 11th. Another move higher may see scope for extensions towards the peak of March 10th at around 8130, or the low of February 28th, at 8400. If that level is violated as well, then the bulls may put the 8950 territory on their radars. That zone provided resistance on February 27th and March 2nd, and support on March 6th.

Bitcoin BTC/USD 4-hour chart technical analysis

Disclaimer:

The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. The Group of Companies of JFD, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyses and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyses and must therefore be viewed by the reader as marketing information. JFD prohibits the duplication or publication without explicit approval.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with the Company. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Please read the full Risk Disclosure.

Copyright 2020 JFD Group Ltd.

WEEKLY FINANCIAL NEWSLETTER
RIGHT INTO YOUR MAILBOX!
SUBSCRIBE TO JFD'S STRATEGIC REPORT

MORE MARKET INSIGHTS