Bitcoin trading has reverted to selling behavior, and the bears are clawing down the chart for all they’re worth. Buyers have set up strong buy orders between $225 and $237 but the past 24 hours of decline have relentlessly eaten into these. Will support at $230 hold?
From xbt.social analysis earlier today:
Sellers are hammering support and lower down could be on the cards. However, the present wave down lacks the momentum of yesterday’s wave 3.
The Fib line at $232 is providing support, but the question is if it will hold. For now we assume it does. The wave down seems to have an outstanding wave 5 of decline and it could sink price anywhere to $230 and $220 if support breaks. If support holds, we expect price to trade back above $237 and 1473 CNY in a relief rally.
Bitcoin Trading has fallen to old habits and may find out, this time, that the elevator has already reached the ground floor. Strong technical support lies between $230 and $237 (1450 CNY) and buy orders wait below that. If support holds expect a relief rally. If it fails, well, it’s back to $210, consolidation and to start the advancing wave cycle all over again.
The Bitfinex depth chart shows few buy orders to $230, making the bears’ task easy, since buying only becomes stronger towards $225. The orderbook shows pre-existing limit orders, remember that buyers may come in with market (and hidden) orders.
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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.
Last modified (UTC): July 12, 2015 12:40