Bitcoin: USD/BTC (BTC=X) Price Aims $9K Target In the Mid Term
Bitcoin is not giving up and is aiming to reach the new heights to escape the downtrend. When to expect BTC overcoming the $9 target? Traders are sure we need to wait some time – this price is a mid-term target.
Over the past days, the first days of October, we saw Bitcoin price trying to recover in consolidation between the marked descending trend-line on the 4-hour chart and $8,200 from below. This seems like another mini bearish triangle. Another thing to note is that if there won’t be any momentum shift, the possibility for a Death Cross becomes real.
Not long afterward, Bitcoin started its massive 3-month move towards the 2019 high at $13,880.
What to watch for to track Bitcoin’s moves?
- Support/Resistance. Further above is $8,750 – $8,800 resistance area , which contains the 38.2% Fibonacci retracement level. The next resistance lies at $9,000, whereas the real test for Bitcoin bulls is located at $9,400 – $9,500 which contains the ascending trend-line (of the famous 2019 bearish triangle which got broken recently, shown on the daily chart ) along with the 61.8% Fibonacci retracement level (the “Golden Fib”).
- The RSI Indicator (Daily): Nothing new is coming on behalf of the RSI. The Stochastic RSI oscillator had made a crossover and moving now in the neutral area, which might give some fuel to break above the critical resistance.
- The Trading Volume: Since the huge breakdown a week ago, the total volume is declining over time. As of writing this, yesterday seems like the dull days of the first two weeks during September. This setting probably indicates a short-term coming up move.
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 9,264.70.
The projected upper bound is: 8,605.63.
The projected lower bound is: 6,978.07.
The projected closing price is: 7,791.85.
A black body occurred (because prices closed lower 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 21 white candles and 29 black candles for a net of 8 black candles.
Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.
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 26.8193. This is not an overbought or oversold reading. The last signal was a buy 7 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 25.89. This is where it usually bottoms. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 6 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 -138.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 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 buy 2 period(s) ago.
Rex Takasugi – TD Profile
FOREX BTC= closed down -62.410 at 7,842.170. Volume was 48% below average (neutral) and Bollinger Bands were 42% wider 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: 8,129.44 9,623.96 8,545.40
Volatility: 30 54 79
Volume: 85,372 80,165 84,943
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 8.2% 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 moderate flows of volume out of BTC= (mildly bearish). Our trend forecasting oscillators are currently bearish on BTC= and have had this outlook for the last 13 periods. Our momentum oscillator is currently indicating that BTC= is currently in an oversold condition. The security price has set a new 14-period low while our momentum oscillator has not. This is a bullish divergence.