FxWirePro: BTC/USD breaks below 21-DMA, good to sell on rallies
BTC/USD continued trading in the red on Friday as it continues to be weighed down by the news coming from Chinese bitcoin exchanges. The pair is currently hovering around 21-DMA and trading at 963 levels at the time of w…
BTC/USD continued trading in the red on Friday as it continues to be weighed down by the news coming from Chinese bitcoin exchanges. The pair is currently hovering around 21-DMA and trading at 963 levels at the time of writing (Bitstamp).
Ichimoku analysis of daily chart:
Tenkan Sen: 994.21
Kijun Sen: 941.34
On the upside, the pair is facing resistance at 991.46 (61.8% retracement of 1139.89 and 751.34) and a break above would target 1007 (trend line joining 751.34 and 910)/1024 (7-DMA).
Momentum studies remain bearish: RSI(14) is weak at 50, bias lower; and stochs are pointing south and MACD on the verge of a bearish crossover.
On the downside, the pair has taken support near 951.17 (38.2% retracement of 751.34 and 1074.69) and any violation would drag it to 930 (Cloud top)/874.86.
Protocols may remain open while share trading, price references and redemptions follow slower schedules, complicating collateral sales and debt settlement.
