24.07.201909:50 Forex Analysis & Reviews: Forecast for Bitcoin on July 24th. The outflow of Chinese investment in Bitcoin continues to reduce its value

Bitcoin – 4H.

As seen on the 4-hour chart, Bitcoin performed a fall to the correctional level of 38.2% ($9558). And this is not the limit. For several times in its history, Bitcoin has risen sharply, and each time this growth was not associated with specific fundamental reasons. At first, it was a "bubble" due to the influx of new investors who want to invest in the most famous cryptocurrency and make money on it. Overall, the fall of "cue" from $20,000 to $3000. Now, there was a rise to $ 13,500 again, after which the fall began, which has a specific reason. The words of US Treasury Secretary Steven Mnuchin and Donald Trump's attitude to Bitcoin, we already wrote yesterday. Today, it became known that the Indian authorities can completely prohibit the use of Bitcoin and other cryptocurrencies, as well as introduce high fines for violation of this law and even criminal liability. In addition, the Chinese authorities approved the launch of a new exchange in Shanghai Star Market, which attracted huge investments among Chinese investors. On the first day of trading, investments brought from 100 to 600% profit, so it is not surprising that trading volumes grow, investments in the stock exchange grow, and investments are taken by selling other instruments, in particular, Bitcoin. Closing of the "cue" quotes under the Fibo level of 38.2% will significantly increase the probability of continuing the fall in the direction of the correction level of 127.2% ($8744). Today, July 24, there are no emerging divergences in cryptocurrency in any indicator.

The Fibo grid is based on the extremes of July 2, 2019, and July 10, 2019.

Forecast for Bitcoin and trading recommendations:

Bitcoin performed a drop to the correction level of 38.2% ($9558). Thus, I recommend selling the cryptocurrency with the target of $8744, with the stop-loss order above the level of 38.2%, if the closure is performed under the level of $9558. I recommend buying Bitcoin with a target to $10478, and with a stop-loss order under the level of $9558, if it will be rebounded from a correction level of 38.2%.