Bitcoin and Stellar Technical Signal Strategy: The 60min Break

Digital Derivatives MarketsCrypto Signals

Bitcoin Strategy 13/01/21

Bitcoin (BTC/USD) posted fairly heavy selling in recent days. The volatility in cryptocurrencies are likely to continue for some time as bitcoin garners more interest across the globe.

For this strategy we focused on the hourly chart. Bitcoin’s price in the chart is derived from Bitstamp.

BTCUSD 60min Chart

Please click on the chart to enlarge:

Bitcoin 60min Chart 13 January 2021

BTCUSD 60min Chart 13/01/21

Based on the 60min chart a break outside the triangle (above or below) may trigger further buying or selling in bitcoin. A break above the upper line (hourly close is preferred) may drive the price towards $38,670.

A break below (hourly close) may trigger heavier selling. Bitcoin may trade as low as $31,125.

It is important to note that the breakout must materialize within the next 12 hours. Any break beyond the 12 hours has greater risks of ending as a false breakout.

XLM 4hr Chart

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XLMUSD 4hr Chart 13 January 2021

XLMUSD 4hr Chart 13/02/21

Stellar (XLM) is poised for further gains based on the daily chart. We attempt to time the entry via the 4hr chart. A 4hr break above the diagonal line (blue) may trigger further gains towards 0.3620.

There is no short entry in XLMUSD. As opposed to Bitcoin 60min strategy there is no expiry for strategy unless heavy selling materialize without a breakout.

We are intentionally keeping the strategy simple.

Crypto Signals Update

Bitcoin acquired its technical objective. XLM/USD was unable to post a 4hr break above the key resistance, which lead to some selling in the cryptocurrency.

Please click on the chart to enlarge:

Bitcoin 60min Chart 15 January 2021

Bitcoin 60min Chart 15/.01/21

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Last Updated on April 1, 2021