Bitcoin: USD/BTC (BTC=X) has now entered a new selling trend for the first time since mid-November

Bitcoin: USD/BTC (BTC=X) has now entered a new selling trend for the first time since mid-November

Bitcoin: USD/BTC (BTC=X) has now entered a new selling trend for the first time since mid-November

The bitcoin price has been trading around the $3,500 mark over the last month, falling to lows of $3,322 this week, according to prices from the Luxembourg-based Bitstamp exchange.

Lingham’s warning follows worrying reports that bitcoin could be headed for further pain before the crypto winter ends.

The GTI VERA Convergence Divergence Technical Indicator shows bitcoin has now entered a new selling trend for the first time since mid-November. Analysis shows the last time the technical indicator sent a sell signal bitcoin dropped sharply, from around $6,300 per coin to $3,100, in just two weeks.

Some $400 billion in value has been wiped from the cryptocurrency market over the past 12 months as adoption stalls and banks put closely-watched plans to wade into bitcoin and cryptocurrencies on hold.

Bitcoin’s epic 2017 bull run was largely put down to expectations institutional investment and big bank support for bitcoin would soon arrive. As 2018 dragged on and that investment failed to appear many investors and traders got cold feet, bailing out of their bitcoin and cryptocurrency positions.

The crypto winter has caused many bitcoin, cryptocurrency and blockchain startups to slash jobs or shut down already and a further turn for the worse could spell disaster for the burgeoning bitcoin sector.

Overall, the bias in prices is: Downwards.

The projected upper bound is: 3,839.00.

The projected lower bound is: 3,055.52.

The projected closing price is: 3,447.26.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 26 white candles and 24 black candles for a net of 2 white candles.

A long upper shadow occurred. This is typically a bearish signal (particularly when it occurs near a high price level, at resistance level, or when the security is overbought).

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 28.6689. This is not an overbought or oversold reading. The last signal was a buy 15 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 40.30. 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 buy 45 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 -79. This is not a topping or bottoming area. The last signal was a buy 0 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 sell 3 period(s) ago.

Rex Takasugi – TD Profile

FOREX BTC= closed up 15.480 at 3,447.110. Volume was 70% below average (consolidating) and Bollinger Bands were 76% narrower than normal.

Open High Low Close Volume___
3,430.8803,561.3003,426.0003,447.110 24,560

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

Moving Averages: 10-period 50-period 200-period
Close: 3,505.03 3,670.04 5,574.72
Volatility: 26 67 66
Volume: 65,668 78,631 80,749

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 38.2% below its 200-period moving average and is in an downward 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 bearish on BTC= and have had this outlook for the last 16 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