Bitcoin price found support at $430 (Bitstamp) and 2875 CNY during the past two days. Price action remains directionless with eager profit taking on any move higher, and yet, buyers have prevented a new low in the chart.
Time of analysis: 14h00 UTC
From the analysis pages of xbt.social, earlier today:
We have a potential bullish chart condition: a 15-minute xbt.social buy signal is forming, and the 1-hour chart is advancing too.
But even so, the current chart does not inspire confidence: a new high has yet to print, and sellers continue placing large profit-taking orders just above the current area of price action.
Despite a 15-minute xbt.social buy signal, the indicators at the 1-hour timeframes are overbought. We’ve had successful trades throughout November and December and the prudent approach, at this time, could be caution of over-milking the cash cow.
The risk, as always, is that a rally ignites in the bitcoin chart. Given the thin, illiquid holiday market conditions, simply holding 50:50 allocation (BTC vs fiat) is a sufficient strategy for gaining from any potential rise in price – rather than actively trading at leverage.
Bitcoin trade remains sluggish as general market activity slows into the holiday season. Consolidation into year-end should see more favorable price moves develop into the new year.
What do readers think? Please comment below.
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The writer trades Bitcoin. Trade and Investment is risky. CCN.LA accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.
Bitcoin price charts from TradingView.
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