Since the beginning of this month, the bullish sentiment has prevailed on the cryptocurrency market. The BTC/USD quotes have risen by more than 6.5% and have updated key extremes. Let’s consider the current news feed.
According to Bloomberg, the Financial Services Agency (FSA) may approve crypto exchange-traded funds (ETFs). At the moment, the financial regulator is studying the industry's interest in crypto ETFs.
The Irish government has adopted a bill aimed at anti-money laundering, which also refers to tightening the rules on the work of cryptocurrency companies.
Reserve Bank of India (RBI) has postponed plans to launch a digital currency. This was reported by the Hindu Business Line.
Today, the BTC/USD quotes are testing the mark of $4,100 at Bitstamp.
Current Technical Picture of BTC/USD
- Support levels: 3800.00, 3600.00, 3300.00
- Resistance levels: 4100.00, 4400.00, 4750.00
At the moment, the BTC/USD quotes are consolidating. The current technical pattern signals a further correction of the Bitcoin rate. The key support and resistance levels are 3800.00 and 4100.00, respectively. Indicators point to the power of buyers:
- the price has fixed above 50 MA and 200 MA;
- MACD has started to rise.
Positions should be opened from the key levels.
If the price fixes above the resistance level of 4100.00, further growth of the cryptocurrency exchange rate is expected. The movement is tending to 4400.00-4800.00.
Alternative option. If the price fixes below 3800.00, it is necessary to look for entry points to the market to open short positions. The movement is tending to 3400.0-3200.0.
When following the positions, one should use a trailing stop.