Bitcoin Price Technical Analysis for 09/28/2016 – Bulls Waiting at Channel Support

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Bitcoin Price Key Highlights

  • Bitcoin price is slowly starting to trend higher on the short-term time frames once more, creating an ascending channel formation on its 1-hour chart.
  • Price just came off a test of the channel resistance and is setting its sights back on support.
  • Technical indicators are suggesting that the channel support could hold and allow bitcoin price to resume its climb.

Bitcoin price is starting an uptrend on its 1-hour time frame and bulls could keep this rally going after a test of support.

Technical Indicators Signals

The 100 SMA just crossed above the longer-term 200 SMA, signaling that the path of least resistance is still to the upside. In addition, these moving averages are close to the channel support at $600-605, adding to its strength as a floor.

Stochastic is on the move down for now so bitcoin price could follow suit. The oscillator is already nearing the oversold area, though, so a turnaround could follow and allow bulls to take over once selling pressure is exhausted.

However, if bearish momentum picks up, bitcoin price could break below the channel support and head to the next lows at $595 or lower. On the other hand, a strong surge in buying pressure could spur a

Read more ... source: NewsBTC USA

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