Bitcoin Has Set a New Record

Technical indicators:
  • Market Cap, billion: $122.08
  • % chg. over the week: +17.88
  • % chg. over the year +892.3
  • 52 wk range: 699 - 7315.1

Today, Bitcoin has risen to a new historic high, reaching $7400. At the moment, Bitcoin's market capitalization exceeded $122 billion. The fact that the CME Group (the North American financial derivative operator) is going to launch the Bitcoin futures trade, has caused a significant growth of the cryptocurrency. The Bitcoin trading on the American Exchange can bring legitimacy and recognition to the cryptocurrencies.

The current technical pattern on BTC/USD
  • Support levels: 7100.0, 6800.0, 6500.0
  • Resistance levels: 7400.0
BTC/USD

The BTC/USD rally continues. Over the past week, the growth of quotations exceeded 17%. The trading instrument has again updated the historical maximum. At the moment, the key levels of support and resistance are 7100.0 and 7400.0, respectively. The further growth of the BTC/USD quotations is not excluded.

The signals of the indicators are different. The price has fixed above 50 MA and 200 MA, which indicates the power of buyers.

The MACD histogram has begun to decline and moved to the negative zone, which signals a technical correction.

Trading recommendations

It is advisable to open positions in the direction of the current trend. If the price fixes above the resistance level of 7400.0, the further growth of BTC/USD is expected.

Alternative option. If the BTC/USD quotes overcome the "mirror" support level of 7100.0, a correction movement may develop on the trading instrument. The movement is tending to 6900.0-6800.0.

When tracking positions, one should use a trailing stop.

by JustForex, 2017.11.03

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.