Bitcoin: USD/BTC (BTC=X) Bulls continue to face exhaustion above $4,000
The current market scenario doesn’t vary much from my analysis yesterday. Cryptocurrency market is currently in a phase where both bulls and bears wage war for control of price action. But neither bulls nor bears seem to possess the strength required to form a breakout price action.
This has resulted in both Bitcoin and other major legacy cryptocurrencies seeing repeated dead cat bounce price moves across familiar price levels to the top and to the bottom. Having found short term support aka bottom from which major cryptos could now move forward, bulls are attempting to stage the next leg of upside price action which is facing strong resistance on multiple price levels.
Bitcoin has managed to find the bottom at $3500 and strong support above that at $3800 handle while Ethereum has managed to find the bottom at $130 handle followed by strong support at $135 handle. Both cryptocurrencies are now on the path to see further gains but nothing much has changed in the upside. Both currencies see resistance at same price levels which have capped gains so far this week.
Bitcoin has to breach resistance at $4085 and $4150 before aiming for $4200 handle which is the biggest hurdle to be scaled to aim for new 2019 highs and long term target of $5000 handle while Ethereum needs to breach resistance at $140 handle to aim for biggest hurdle in immediate further at $150 mark the biggest hurdle so far this year. Crypto market will continue to see consolidative price action for the rest of the day followed by a correction to the downside in the near future amid lack of trigger to push for further upside price action.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
The projected upper bound is: 4,355.65.
The projected lower bound is: 3,703.57.
The projected closing price is: 4,029.61.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 27 white candles and 23 black candles for a net of 4 white candles.
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 72.8084. This is not an overbought or oversold reading. The last signal was a buy 28 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 53.42. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 33 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 71. This is not a topping or bottoming area. The last signal was a sell 8 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 sell 6 period(s) ago.
Rex Takasugi – TD Profile
FOREX BTC= closed up 6.080 at 4,016.440. Volume was 84% below average (consolidating) and Bollinger Bands were 46% narrower than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 3,999.65 3,863.65 4,670.00
Volatility: 47 54 64
Volume: 58,311 65,118 73,196
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 14.0% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of BTC= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on BTC= and have had this outlook for the last 4 periods.
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