Bitcoin price is giving clear signals in the chart and its indicators. For the time being we can predict, with some confidence, that price will most definitely be traveling due east.
Bitcoin Price Analysis
Time of analysis: 16h06 UTC
OKCoin 3Mth Forward 4-Hour Chart
From the analysis pages of xbt.social, earlier today:
This morning’s general xbt.social assessment of Bitcoin ecosystem mood, and by extension the mood of the market, gives a bearish bias to the chart. The 4-hour timeframe shows the MAs hanging heavily over price – and trade has not been willing or able to climb through those decompressed MAs as it usually does after a decline.
The sense is that price may head lower, or at least, head sideways in the meantime.
An indicator anomaly can be seen in the xbt.social stochastics (top) where blue downside divergence dots are appearing at the top of the indicator panel. This is not normal and usually (but not always) heralds a drop lower. Although not a specific sell signal in our toolkit, notice that MACD is descending below its zero line in both the above 4hr timeframe and the following 1hr chart.
I’ve found you’ve got to look back at the old things and see them in a new light. – John Coltrane
There are still fissures and cracks apparent in the Bitcoin ecosystem. They should eventually dissipate as the negative mood that created them transforms into positive mood. Until such time, the larger trend should remain down or sideways at least. Let’s wait for a sell signal in the 1-hour chart before jumping into any position.
Bitfinex orderbook depth and Buy/Sell Volume:
What do readers think? Please comment below.
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The writer trades Bitcoin. Trade and Investment is risky. CCN.LA accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.
Bitcoin price charts from TradingView.
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