Technical analysis Bitcoin BTC/USD - 03.09.2017

Bitcoin quotes on the Bitfinex exchange market last week were hovering around the resistance area marked with the red rectangle on the chart below. We have presented a growth scenario that has met perfectly. Short-term players could close their long positions at about 4900 USD. This level coincides with the upper limit of the growth channel. As you can see, the channel we have drawn is respected by the price.

Many of you have probably been disappointed that the BTC rate has not reached to $ 5,000. Our target level was $ 5050. This is a level that coincides with the external lift of the last Fibo correction of 161.8%. Assuming that the lower limit of the growth channel will stop the price from falling further, then this level will be the target for long positions.

However, looking at the D1 interval, you can notice a strong sales signal on a larger volume. The created engulfing candle was tested in 50%. Investors who use this entry technique are already enjoying profits. This place also coincided with the level of 4700 USD.

We therefore recommend caution in taking long positions at lower growth channel limits. Look for a strong price addition from this level. The safer place will be the rise of 4700 USD and the test from the top. Sale after strike and bottom test 4200 USD.