Bitcoin did very little again during the day on Friday, as we continue to hover around the $6500 level. At this point there isn’t much you can expect out of the market as there is simply no catalyst to move. We have sliced through the descending trend line that was so bearish for so long, which in and of itself is a slightly positive turn of events. However, we haven’t taken off to the upside and at this point I don’t see a reason why we will, at least not in the short term. The market is very likely to continue to go sideways overall, and therefore it is a market that you can only scalp, and longer-term positions are going to be difficult unless you are willing to sit on a position for ages.
Looking at the chart, there is a lot of support under the current trading, down at the $6000 level, and extending down to the $5800 level. If we can break down below that level, then I think the market will probably go to the $5000 level. At this point, I think that it will be a situation where it will be a huge flush in the market if it happens.
Alternately, if we do break above the $7000 level, I think that the market could probably go towards the $8250 level. However, I suspect that micro scalping is about as good as this gets, and therefore unless you have the ability to sit at the computer and trade 15 minute chart or something like that, this is probably going to be difficult to profit from. However, the one thing that the buyers do have a working in their favor is how stringent the support has been over the last several months.
