Bitcoin profit target reached perfectly, now right on support
Buy above 15467. Stop loss at 13901. Take profit at 17945.
Reason for the trading strategy (technically):
Price shot up from our support area and reached our profit target before dropping down to our buying support once again. We remain bullish looking to buy above major support at 15467 (Fibonacci retracement, horizontal overlap support, bullish price action) for a further bounce up to test the 17945 resistance again (Fibonacci retracement, horizontal overlap resistance).
Reason for the trading strategy (fundamentally):
The drop in bitcoin was largely due to investors losing confidence in its security, especially with South Korean exchange Youbit announcing on its website that is it closing down after a hack that resulted in the loss of 17% of its assets. The hackers broke into their hot wallet which is an online account used to pay out crpytocurrencies instantly. This loss in confidence could be one of the reasons we’re seeing much slower movements recently and an increase in supply as speculators are starting to cash out.
Reason for the trading strategy (technically):
Price shot up from our support area and reached our profit target before dropping down to our buying support once again. We remain bullish looking to buy above major support at 15467 (Fibonacci retracement, horizontal overlap support, bullish price action) for a further bounce up to test the 17945 resistance again (Fibonacci retracement, horizontal overlap resistance).
Reason for the trading strategy (fundamentally):
The drop in bitcoin was largely due to investors losing confidence in its security, especially with South Korean exchange Youbit announcing on its website that is it closing down after a hack that resulted in the loss of 17% of its assets. The hackers broke into their hot wallet which is an online account used to pay out crpytocurrencies instantly. This loss in confidence could be one of the reasons we’re seeing much slower movements recently and an increase in supply as speculators are starting to cash out.