The bitcoin prices could not break through the cup and handle formation that we had mentioned yesterday. The handle came in at the $2600 region and the prices could not break through convincingly through that region and when that happened, it was clear that the bulls would be disappointed. They did show their disappointment by pulling out of their longs and this has led to a fall in the bitcoin prices towards the $2500 region as of this writing.
Bitcoin 4HMore
As expected, the bitcoin prices are likely to consolidate and range in the short term and the region between the $2200 and $2800 should serve as the range in the short term. Traders could use this range and can also find sub ranges within these to make sure that their trades have value. The ranging in the bitcoin prices are here to stay and it might be useful for traders to get used to range trading for the short and medium term. All said and done, the ranges in the bitcoin market are much bigger than what we see in any other market and hence would be useful and attractive enough for the traders.
Looking ahead, we have the NFP data from the US for today. Though this data is unlikely to affect the bitcoin prices as much as it does the other fiat currencies, the traders would do well to keep an eye on the market as any kind of risk on trading is likely to give a boost to this bitcoin market as well.
The ethereum prices are also in a tight range and as we had pointed out yesterday, the ranges in this instrument are getting tighter and tighter by the day which points to a breakout pretty soon. This should come along at anytime and the traders would be well served to wait for the breakout from the ranges and then pick the right side of the breakout.Get Into Bitcoin Trading TodayThis article was originally posted on FX Empire
