As traders eagerly await the outcome of the FOMC meeting in the US, Bitcoin bulls seem to have seized the opportunity presented by the lull in the currency markets to snap up quick deals of prior support levels on BTCUSD. With the pair having been pushed down to the price lows of July 2 and July 17, BTCUSD has bounced and is now trading at slightly above 9900. BTCUSD had been driven to lows of 9097 two days ago in its pairing with the US Dollar, but was unable to push lower to break support.
The Fibonacci retracement levels which were defined by a trace from the November 2017 swing high to the December 2018 swing low continue to remain the relevant areas for medium term support and resistance. Once more, the 38.2% retracement level has acted as a firm support, with price action bouncing off this level as it did previously on July 2 and July 17. This price level (9380) is also the site of the S1 intraday pivot support. Medium term resistance continues to be found at the 50% Fibonacci retracement level at 11,400, with intraday resistance levels located at 9914 and 10092 respectively.
BTCUSD is presently trading within an upward channel and looks set to test the R2 pivot. Intraday trade setups will focus on price behavior at the pivot points, as well as the borders of the rising channel. Upside breach of thus pivot will open the door to 10,092. A failed test of R2 will see a pullback to the 9717 price level (R1 pivot).Don’t miss a beat! Follow us on Twitter.
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