Key Highlights
- Dash price failed to move lower and continued to trade higher.
- Our anticipated Double Top pattern resistance was broken, cancelling the view of a downside reaction.
- More gains are likely as long as the price stays above a crucial bullish trend line formed on the hourly chart.
Dash price moved above 0.0127BTC, and continued to follow a nice bullish trend with sellers failing time and again to defend the upside.
0.0124BTC as a Buying Area
Dash price silently moved above a critical resistance of 0.0127BTC with the opening bell and cancelled the probability of a downside reversal. There was a double top pattern in the making, but the recent move destroyed sellers and set the price for more gains. The price continued to move higher slowly, and heading towards a monster resistance at 0.0130BTC where buyers may perhaps struggle in the short term.
Currently, there are no bearish signs, which means the current bullish trend is likely to continue. The hourly RSI is well above the 50 level with no signs of overbought conditions. The MACD is also positioned for buyers help. If the price corrects lower from the current levels, then initial support can be around the 38.2% Fib retracement level of the last wave from 0.0120BTC to 0.0128BTC, which is at the Lower Bollinger Band.
However, the most important support is around the 50% Fib retracement level, as it is positioned around a critical bullish trend line on the hourly chart. Furthermore, the same trend line floating along with the 100 hourly simple moving average, suggesting that 0.0125BTC is a major support area.
Intraday Support Level – 0.0124BTC
Intraday Resistance Level – 0.0128BTC
On the upside, we will continue to keep on the recent high of 0.0128BTC. A break of 0.0128BTC might clear the way for a test of 0.0130BTC.
Charts courtesy of Trading View
Earlier on this morning we published our twice-daily bitcoin price watch analysis piece. In the piece, we highlighted the levels that we would be keeping an eye on in the bitcoin price throughout the Friday European session, and suggested a couple of potential targets and stop losses for the day’s action. Now we have seen the bitcoin price mature throughout Friday, what are the levels we are keeping an eye on as we head into the weekend, and how will we be looking to take a position on the breaking of any of these levels heading forward? Take a quick look at the chart.
As the chart shows, action today has been pretty erratic. Shortly after we published our piece this morning we ran up towards our in term resistance but immediately broke down below support. We entered short on the break and hit our target relatively quickly. From this level, however, we bounced back up to trade within range, and we are now looking at 222.27 as in term support and 225.69 as in term resistance. These are the levels to watch over the weekend.
If we can get a break below 222.27, we will look to today’s lows at 219.03 as an immediate and medium-term downside target. This gives us quite a lot of room for a stop loss, so somewhere around 224 will leave us enough room to evade a return to trade within range, whilst keeping our risk reward profile positive.
Looking the other way, if we get a break above in term resistance at 225.69, it would present us an upside opportunity towards an initial target of 230 flat. On this trade, a stop loss somewhere around 223.50 will keep our risk to reward positive and also ensure that we are taken out of the trade in the event of a bias reversal.
Charts courtesy of Trading View
Our anticipated Double Top pattern resistance was broken, cancelling the view of a downside reaction.
More gains are likely as long as the price stays above a crucial bullish trend line formed on the hourly chart. Dash price moved above 0.0127BTC, and continued to follow a nice bullish trend with sellers failing time and again to defend the upside. 0.0124BTC […]