Trading sideways is when a security doesn’t make higher highs or lower lows. It just stays within the same trading range over any period of time, it’s a lull in between a bull market, when a security trade higher, or a bear market, when they are on a downward trend. Again XBT/USD is entering a congestion because it’s not too far from a period of ten days inside a specific range, the price zone from 480 to 540 dollars.
The short term VWAP is now perfectly in the middle of the trading range, at 510 dollars. The volatility of the last seven days dropped further more and so the range defined by the deviation lines, as i indicated in the chart the last tops has been made on the first and second deviation lines with the last $522 top done on a RSI divergence.
Now the rsi is forming a new divergence with an higher bottom and bitcoin price doing a lower low, it could be a buying opportunity if today or tomorrow XBT/USD drops down to $490-$495. If someone want to try to go long there because this is short term operativity the stop loss must be very tight 5 or 10 dollars at max with a target around $515-$520.
