Bitcoin: USD/BTC (BTC=X) downtrend extends stronger and dips further below every day as the prices collapse

Bitcoin: USD/BTC (BTC=X) downtrend extends stronger and dips further below every day as the prices collapse

Bitcoin: USD/BTC (BTC=X) downtrend extends stronger and dips further below every day as the prices collapse

Uptrend for Bitcoin seems like a distant memory, but the downtrend extends stronger and dips further below every day as the prices collapse. The downtrend currently extends from $5,518 to $3,440. The prices for Bitcoin are holding above the support at $3,320. The resistance points for Bitcoin can be seen at successive points $4,749, $4,345, and $5,545.

The MACD indicator shows an overall bearish trend as the MACD and the signal lines are undergoing a crossover to the bottom.

The Stochastic indicator also shows a bearish move as the indicator is lying in the depths of an oversold market, but the lines are closing in on each other for another crossover.

The downtrend for Bitcoin in the one-day time frame shows a downtrend that extends from $9,800 to $3,430. The long-term support seems to be holding the prices up at $3,350, while the resistance points are seen hanging at $7,360, $8390, and $9,800.

The prices for Bitcoin have moved well below the 200-day Exponential Moving Average [EMA] indicating that strength for BTC has not replenished yet, and that a reversal is not near.

The Aroon indicator shows a massive downtrend in play for the BTC prices, while the Aroon upline has lost all strength and settled at the bottom.

The Relative Strength Index shows an extremely oversold market trying to recover.

Conclusion

Bitcoin is showing signs of a rather bearish move even in the one-hour time frame, as indicated by the indicators MACD, CMF, and Stochastic. The one-day chart shows bearish signs for Bitcoin as the prices have dipped further away from 200-day moving average and Aroon and RSI both indicate a bearish movement for Bitcoin’s prices.

Overall, the bias in prices is: Downwards

Note: this chart shows extraordinary price action to the downside.

By the way, prices are vulnerable to a correction towards 4,719.86.

The projected upper bound is: 3,917.92.

The projected lower bound is: 2,695.79.

The projected closing price is: 3,306.86.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 20 white candles and 30 black candles for a net of 10 black 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 25.8558. This is not an overbought or oversold reading. The last signal was a buy 5 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 33.40. This is not a topping or bottoming area. However, the RSI just crossed above 30 from a bottoming formation. This is a bullish sign. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 0 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 -84. This is not a topping or bottoming area. The last signal was a buy 5 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 14 period(s) ago.

Rex Takasugi – TD Profile

FOREX BTC= closed up 112.550 at 3,367.500. Volume was 54% below average (consolidating) and Bollinger Bands were 4% wider than normal.

Open High Low Close Volume___
3,250.0303,381.1003,198.0703,367.500 34,182

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 3,435.85 4,968.50 6,302.53
Volatility: 85 86 65
Volume: 94,650 81,202 81,668

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 46.6% below its 200-period moving average and is in an downward trend. Volatility is high 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 31 periods.

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

You must be logged in to post comments :  
CONNECT WITH