Support and Resistance Bitcoin Trading Analysis & Support & Resistance Trading Signals

Support & Resistance is one of vastly used concepts in bitcoin trading. Most traders draw horizontal lines to explain these levels.

There is also an indicator used to draw these levels automatically & indicate the resistance and support levels.

When it comes to these levels bitcoin price can either bounce off these regions or break out through these regions.

If a resistance level is broken bitcoin price will move higher and the resistance level will turn to a support.

If a support level is broken bitcoin price will move lower & this level will turn to a resistance.

Bitcoin Price where the majority of investors believe that bitcoin trading prices will move higher, while resistance levels indicate the bitcoin price at which a majority of investors feel bitcoin trading prices will move lower.

Once bitcoin price has broken through a support or a resistance then it is likely that the bitcoin price will continue to move in that specific direction until such a time when it gets to the next support or resistance zone.

The more often a support or resistance level is tested or is touched by the bitcoin price and bounces, the more major that particular level becomes.

BTCUSD Analysis & Generating Signals

These levels are calculated a bitcoin trend lines method.

Up-ward BTCUSD Trend

In an upwards bitcoin trend the resistance & support will generally head upward

Upward Bitcoin Trend

Downward BTCUSD Trend

In a downwards bitcoin trend the resistance and support will generally head downward

Downwards Bitcoin Trend