Bitcoin Price Trading Update: First Target Hit

Two days ago we discussed how Bitcoin broke out of the long-term descending channel and targeted 8,400 as the next upside target had the moved continued.

Target Hit - Profit Taking Kicks In

As you can see looking at the chart price did spike to 8,400 at which point profit taking kicked in knocking price back down for that resistance level.

This is perfectly fine and within constructive trading action. In fact, the move to 8,400 was the most bullish scenario out of the three possibilities I laid out in my last post.

I like to see this digestion of the move higher we had.

Here is the key though:

• Price must remain above the 7400-7600 support area.

Price action remains with a bullish tone as long as that remains to be true.

Next step is to test the 8,400 level and break through.