Bitcoin: USD/BTC (BTC=X) currently climbing higher and it is likely to break the key $10,000
Bitcoin price is up more than 5% and it broke the key $9,500 and $9,700 levels against the US Dollar. BTC is likely to accelerate gains above $10,000 and $10,500 in the near term.
Bitcoin Price Analysis
Yesterday, we discussed the chances of more gains above $9,400 in bitcoin price against the US Dollar. The BTC/USD pair did gain momentum and broke the $9,400 and $9,500 resistance levels. It even cleared the key $9,700 resistance and settled well above the 100 hourly simple moving average. A new 2019 high was formed above $9,800 near $9,814.
At the moment, the price is consolidating gains above the $9,700 level. An immediate support is near the $9,700 level. The 23.6% Fib retracement level of the recent move from the $9,295 low to $9,814 high is also near $9,700. The current price action is positive and suggests more gains above the $9,800 and $9,850 levels.
If there is a downside extension, the price could test the $9,550 support. It represents the 50% Fib retracement level of the recent move from the $9,295 low to $9,814 high. Moreover, there is a major bullish trend line forming with support near $9,480 on the hourly chart of the BTC/USD pair. As long as the pair is above the trend line support, it could climb further higher towards $10,000. The 61.8% Fib retracement level of the recent move from the $9,295 low to $9,814 high is also near the $9,490 level.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 7,945.97.
The projected upper bound is: 10,722.49.
The projected lower bound is: 8,960.74.
The projected closing price is: 9,841.62.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 9 white candles and 1 black candles for a net of 8 white candles. During the past 50 bars, there have been 33 white candles and 17 black candles for a net of 16 white candles.
Three white candles occurred in the last three days. Although these candles were not big enough to create three white soldiers, the steady upward pattern is bullish.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 84.5549. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 2 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 75.26. This is where it usually tops. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 3 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 120.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 14 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 6 period(s) ago.
Rex Takasugi – TD Profile
FOREX BTC= closed up 197.529 at 9,754.600. Volume was 59% below average (consolidating) and Bollinger Bands were 56% wider than normal.
Open High Low Close Volume___
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 8,955.26 7,826.20 4,986.30
Volatility: 30 73 68
Volume: 77,977 86,818 78,154
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FOREX BTC= is currently 95.6% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume into BTC= (mildly bullish). Our trend forecasting oscillators are currently bullish on BTC= and have had this outlook for the last 2 periods. Our momentum oscillator is currently indicating that BTC= is currently in an overbought condition.