Bitcoin: USD/BTC (BTC=X) could dethrone gold as the ultimate safe-haven asset

Bitcoin: USD/BTC (BTC=X) could dethrone gold as the ultimate safe-haven asset

Bitcoin: USD/BTC (BTC=X) could dethrone gold as the ultimate safe-haven asset

The price of bitcoin has broken above $12,000 (£9,870) to take its week-on-week gains above $2,000 and bring an end to a shaky time for cryptocurrency investors.

Bitcoin is notoriously volatile, but the price fluctuations since June have been among the most erratic ever experienced by the world’s most valuable cryptocurrency.

After six months of steady but near-constant gains, the price of bitcoin took a sharp dive in late June as $4,000 was wiped from its value in the space of a week. It soon bounced back and by mid-July it was back trading at around $13,000. 

Technical Indicators

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 10,242.56.

The projected upper bound is: 13,697.25.

The projected lower bound is: 9,925.39.

The projected closing price is: 11,811.32.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 30 white candles and 20 black candles for a net of 10 white candles.

Momentum Indicators

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.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 71.3088. This is not an overbought or oversold reading. The last signal was a sell 1 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 63.32. 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 42 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 116.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 9 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 7 period(s) ago.

Rex Takasugi – TD Profile

FOREX BTC= closed down -127.620 at 11,759.380. Volume was 60% below average (consolidating) and Bollinger Bands were 7% wider than normal.

Open     High      Low     Close     Volume___
11,859.55012,078.00011,724.59011,759.380 37,419
Technical Outlook 
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period     50-period     200-period
Close: 10,922.40 10,840.31 6,716.99
Volatility: 50 108 77
Volume: 82,826 93,247 80,313

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.

Summary

FOREX BTC= is currently 75.1% above its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of BTC= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on BTC= and have had this outlook for the last 3 periods.

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