Bitcoin Finding Resistance at the 100 SMA Again by FX Leaders
Bitcoin is still trading inside the range

Bitcoin Finding Resistance at the 100 SMA Again

Posted Wednesday, January 9, 2019 by
Skerdian Meta • 1 min read

Yesterday we posted an article about Bitcoin. Cryptocurrencies have finally stopped declining after BITCOIN got pretty close to the $3,000 level about a month ago and they have retraced higher. Although, Bitcoin hasn’t been able to make new highs since topping out at around $4,200 where it ran into the 100 smooth moving average (red).

The price has been confined between the 100 smooth MA on the top side and the 100 simple MA (green) at the bottom. Yesterday the price got pretty close to the 100 smooth MA but started reversing in the afternoon. Today, we see that the buyers have given the upside another try, but the 100 smooth MA still remains strong.

The high on my platform today is $4,087 which is just a handful of pips below that moving average. So, the 100 smooth MA remains as resistance and, as I said yesterday, it is a good place to go short from. The 100 simple MA (green) stands around $400 pips below, so the trade offers a good risk/reward ratio, if you place the stop above $4,200.

This was a good setup to trade and we sold Bitcoin based on this chart setup yesterday.

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About the author

Skerdian Meta is our Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
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