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Bitcoin analysis for May 23, 2018

analytics5b0560d0a7310.png

The Bitcoin (BTC) has been trading downwards. As I expected, the price tested the level of $7.772 and met my yesterday's target. The Chilean president, Mario Marcel, has made comment seemingly in favor of developing a regulatory apparatus for virtual currencies. The apparent openness to regulating cryptocurrencies contrasts significantly from the recent banking embargo targeting virtual currency, recently witnessed in Chile. The technical picture on Bitcoin looks bearish.

Trading recommendations:

According to the H1 time - frame, I found that the price broke support trendline in the background. I also found a breakout of intraday bearish flag, which is another sign of weakness. The MACD oscillator is showing weakness. My advice is to watch for potential selling opportuinties. The downward targets are set at the price of $7.566 and at the price of $6.962.

Support/Resistance

$7.920 – Intraday resistance

$7.770– Intraday support

$7.565 – Objective target 1

$6.962 – Objective target 2

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