Bitcoin Has Updated Key Extremes. Potential to Recover Is Still High

Technical indicators:
  • Capitalization, B.: $129,32
  • Change, %, weekly: +20,18
  • Change, %, annually: -16,56
  • 52-week range: 3.122,3 – 8.900

The BTC/USD quotes show a steady uptrend. "Digital gold" has set new yearly highs. Let’s consider the current news feed.

Facebook has softened its ban on ads related to blockchain, industry news, educational content and events for cryptocurrency. Now it can be displayed without prior approval. At the same time, users still need to get permission from the social network to promote cryptocurrency. Ads for initial coin offerings (ICO) are still prohibited.

Last week, the Binance cryptocurrency exchange was hacked for 7,000 BTC. After that, the deposit and withdrawal of funds were suspended. Today, Changpeng Zhao, Binance’s CEO, has announced that the deposits and withdrawals will be resumed approximately on Tuesday, May 14.

The heads of the two US financial regulators, the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), have asked Congress to increase financing for regulating the cryptocurrency market.

Today, the BTC/USD quotes are testing the mark of $7.270 at Bitstamp.

Current Technical Picture of BTC/USD
  • Support levels: 6800.00, 6000.00, 5600.00
  • Resistance levels: 7600.00, 8000.00
BTC/USD

At the moment, the BTC/USD quotes are consolidating. The trading instrument has the potential for further growth. The key support and resistance levels are 6800.00 and 7600.00, respectively. Indicators do not send accurate signals:
- The price has fixed above 50 MA and 200 MA;
- The MACD histogram is near the 0 mark.

Positions should be opened from the key levels.

Trading recommendations

If the price fixes above the mark of 7600.00, the cryptocurrency rate is expected to grow. The immediate goal for profit taking is a round level of 8000.00.

Alternative option. If the price fixes below the support level of 6800.00, a correction movement is expected. The target movement level is 6200.0-5600.0.

When tracking positions, one should use a trailing stop.

by JustForex, 13.05.2019

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

Open Account

Get Free Analytics

* required fields
Last Articles
All Articles
Stop and Limit Orders in Forex
There are many gainful opportunities for traders in the forex market, but no one is immune to losses. That’s the reason why traders should employ an efficient trading strategy where both stop and limit orders go hand in hand with other essential aspects of the strategy.
Read more
Top 10 Successful Forex Traders in Indonesia
Due to the growing popularity of forex trading, it’s impossible to stay on the sidelines. What does it take to become one of those confident traders? Is forex trading for you? Find out more about the nature of this industry and have a look at the list of top Indonesian forex traders in 2021.
Read more
Guide to Forex Trading in Indonesia
What is forex trading? It’s freedom – due to the round-the-clock market operation in different parts of the world, hundreds of thousands of traders choose what’s best for them: time frame, asset, strategy, objectives, amount of a deposit, etc. There might be a lot of questions in the beginning of your trading journey, and this article aims to emphasize the essential aspects of this profession.
Read more