BITCOIN PRICE STALLED

In the past few days, we advised traders to consider taking profits ~$344. It turns out that the magic number was a few dollars shy of that figure ($338). We also suggested that when the next pullback occurred we could possibly get a test of the long term support line. As I am writing these words, price has touched that support line. For now at least, that support is holding. See the 3-day chart below.
As long as we do not get a close below that support line I will remain medium-term bullish. I continue to expect that the market will rise as soon as the price passes through the 2nd arc resistance seen on the 1-day chart below. However, if we get a close on the 3-day chart below that support line I will break out my bearish setups again. Let’s see what the next few days bring.
3-Day Chart

The long term support seen on this chart is not trivial. As long as we do not get a close below the long term support, we can expect that the market will go up from here. Conversely, a close below this line will be a bearish signal. Note that the candle does not close for two more days, so do not panic if the price dips below the line briefly in the meantime.

This post was published at Crypto Coins News on December 25, 2014.