October has produced a price range for BTC/USD largely between 10300.00 and 10800.00.
The price range for BTC/USD has remained within a fairly consolidated band the past week of trading. The tight range may indicate a wait and see approach is building within the cryptocurrency market. Speculators who like to wager on downside action for BTC are likely eyeing the 10,500.00 carefully, if Bitcoin punctures this level lower it is likely to see rather fast trading develop if the crypto is not able to muster enough support.
The month of September saw a high mark established of approximately 12050.00 early on in BTC/USD. However, a sharp plunge in value which happened seemingly overnight took BTC from its highs to a low of nearly 10185.00 where it appears buyers emerged again and created some support. After the recovery of price stability, BTC/USD climbed towards the 11170.00 level around the 19th of September and it accomplished this with incremental buying power in evidence.
In recent trading BTC/USD has not been able to generate consistent buying momentum and the past few weeks have seen the cryptocurrency trade mostly between 10380.00 and 10900.00. And after reversing off of early October lows BTC/USD did hit a high of approximately 10800.00 two days ago and has since then struggled to make upwards headway. Early price action this morning shows BTC/USD traversing near a value of 10600.00.
Speculators who have the emotional strength to trade BTC/USD understand this is a fast moving asset which needs extremely good risk management to protect against value swings which can be completely unpredictable. Traders who are looking at technical charts may decide via risk reward scenarios there is a greater possibility for BTC/USD to find some momentary positive bullish price action.
The question for BTC/USD is which direction its trend will establish next and this is difficult to determine. Bullish sentiment among many cryptocurrency analysts remains optimistic, but there are legitimate reasons to suspect some of this bluster is more sales talk than a real examination of value. Speculators who simply want to profit on the trend must take into consideration short term momentum in BTC/USD and see if they can capitalize on their perceptions.
It is possible that speculators could be enticed to buy BTC/USD and look for a run upwards to 10700.00 near term, but in order to cash in this dynamic price action the trader must have all their risk management in place including take profit orders. Speculators trying to be too greedy while seeking big returns can experience costly mistakes when trading Bitcoin.
Bitcoin Short Term Outlook:
Current Resistance: 10700.000
Current Support: 10500.000
High Target: 10800.000
Low Target: 10300.000