Sunday, September 20, 2015
Bitcoin Technical Analysis for 09/20/2015
Bitcoin has been grinding in a tight range for the past two days, but I think there is some potential for a bullish move in the coming days. Price is currently trading above two key pivot areas - $230.30 and $229.00! I would consider the pivot at $230.30 to be a "major" one, as this area has been respected about three times as support/resistance. The pivot at $229 is of less significance, but this level should not be ignored, as the price used this level as resistance on the 16th, and as support on the 17th. Unless price plunges down through both of these pivots, the path of least resistance seems to be UP! So, I would look for long entries near these important levels.
The 4-hour chart is also showing a "Head&Shoulders" technical pattern forming, of course the right shoulder has not formed yet, but the setup is there. If I were trading this setup, the ideal buying price for me would be right at, or anywhere between $229 and $230.30!
Chart Source: okcoin.com