The Bitcoin (BTC) has been trading upwards. The price tested the level of $4,115. Anyway, the news from China are not so good for Bitcoin. The Chinese authorities may be moving toward a broad clampdown on Bitcoin, including peer-to-peer (P2P) exchanges and over-the-counter (OTC) trading platforms. Using the Great Firewall to block IP addresses, access to foreign bitcoin exchanges could be blocked and the Bitcoin transaction network could be disrupted within the country. Bitcoin miners are also worried that their operations could be restricted.

Trading recommendations:

According to the 30M time frame, I found a fake breakout of yesterday's high at the price of $4,092, which is a sign that buying looks risky. There is an intraday bullish flag, which is another sign of weakness. My advice is to watch for potetnial selling opportunities. The downward targets are set at the price of $3.841 and $3.641.

Support/Resistance

$4.092 – Intraday resistance (price action)

$3.841 – Intraday support (price action)

$3.641 – Support (price action)

With InstaForex you can earn on cryptocurrency's movements right now. Just open a deal in your MetaTrader4.