Bitcoin: USD/BTC (BTC=X) Is Now Back Where It Belongs

Bitcoin: USD/BTC (BTC=X) Is Now Back Where It Belongs

Bitcoin: USD/BTC (BTC=X) Is Now Back Where It Belongs

Bitcoin has gone through a strange weekend – a strange week if you want to take things a step further. The currency gave everyone the burn when it decided to drop by roughly $400 late last week after trading for approximately $10,400 for some time. Everyone was so sure that the bulls had retaken their power back, but the drop put fear and doubt in everyone’s minds.

From there, the falls didn’t end. The world’s number one cryptocurrency by market cap lost another $300 following news that it was about to be hit with hardcore regulatory tactics sometime in the coming future thanks to efforts from the Secretary of the Treasury.

For the most part, bitcoin fell by roughly $800 within a very short period, dropping from about $10,400 to approximately $9,600. Yesterday, however, it rose back up to about $9,900 and now, the cryptocurrency has shot up another $200 and has surpassed the $10,000 mark again during the early morning hours for a total of $10,100. Thus, the currency has added another $500 to its overall price in just 48 hours.

Yesterday, Live Bitcoin News reported that the “golden cross” was being viewed on the cryptocurrency’s technical charts, and that the asset was in line for another major rally in the coming weeks. More sources are reporting on this cross, stating that the last time such a symbol appeared on the bitcoin plane, the currency rose by a whopping 170 percent. Could it be that bitcoin will do the same again?

If that’s the case, we can certainly expect the digital currency to surpass its all-time high of nearly $20,000, which it hit in late December of 2017. A 170 percent spike in bitcoin right now would mean that it’s $10,100 price would more than double, thereby bringing the currency beyond the $25,000 range. Possibly even more…..

In addition, filmmaker and broadcaster Max Keiser predicted that bitcoin would reach a price of approximately $400,000. While he didn’t give a specific timeframe for the asset, he has been working to predict bitcoin’s price for roughly eight years, and initially stated that the currency would hit the $100,000 mark. Now, he’s tripling this figure.

Technical Indicators

Overall, the bias in prices is: Upwards.

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

The projected upper bound is: 10,377.94.

The projected lower bound is: 8,968.82.

The projected closing price is: 9,673.38.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 32 white candles and 18 black candles for a net of 14 white candles.

A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).

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 34.7980. This is not an overbought or oversold reading. The last signal was a sell 10 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 51.14. 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 8 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 -109.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 7 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 6 period(s) ago.

Rex Takasugi – TD Profile

FOREX BTC= closed up 15.480 at 9,620.160. Volume was 95% below average (consolidating) and Bollinger Bands were 10% narrower than normal.

Open     High      Low     Close     Volume___
9,609.0009,668.3609,467.6409,620.160 6,194
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish
Moving Averages: 10-period     50-period     200-period
Close: 9,922.25 9,003.65 8,834.59
Volatility: 53 50 56
Volume: 289,551 164,318 103,296

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 8.9% above its 200-period moving average and is in an downward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. 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 0 periods.

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