02 Feb Bitcoin Price Watch; Near Term Reprieve?
We are closing in on the end of the European session in the bitcoin price and things have been pretty interesting today. We started out the session this morning by noting that action was relatively weak (in the sense that price was falling, and falling fast) and that this was primarily driven by a concurrent weakening of sentiment.
When things move like they have done recently, it can translate to a sort of downward spiral-type action that feeds itself – that is, price falling, people panicking, selling, price falling further because people are panic selling, etc.
Once this happens, there’s very little anyone can do other than sit out of the markets and wait for the sellers to shake out. The important thing is not to become a seller yourself.
Anyway, we’re all about the short term as far as out intraday analysis goes, so we’re going to try and focus on that right now and push the overarching momentum to the back of our minds.
So, with this in mind, let’s get some levels in place that we can use to carve out a profit from the market this evening, whichever way price moves.
As ever, take a quick look at the chart below before we get started so as to get an idea where things stand. The chart is a one-minute candlestick chart and it’s got our primary range overlaid in green.
As the chart shows, then, the range we are looking at for the session this evening comes in as defined by support to the downside at 8899 and resistance to the upside at 9095.
We’ll look at entering long on a close above resistance towards a target of 9250. Conversely, if we see price close below support, we’ll get in short towards a downside target of 8800.
Let’s see what happens.
Charts courtesy of Trading View