$7,000? Bitcoin Looks North After Six-Day High

$7,000? Bitcoin Looks North After Six-Day High

Usi Tech maklikste passiewe Bitcoin belegging

Despite the bearish chart setup, Bitcoin (BTC) rose to a six-day high on Monday, putting a corrective rally to $7,000 back on the map.

The leading cryptocurrency unexpectedly picked up a bid around $6,450 by 16:00 UTC yesterday and rose to $6,850 – the highest level since June 12, according to Bitfinex data.

Die $400 rally may have trapped a few bears on the wrong side of the market, given the pennant breakdown on the 4-hour chart had called for a drop to $6,000.

Yesterday’s gravity-defying price action in BTC has boosted the odds of a rally to $7,024 (23.6 percent Fibonacci retracement of the sell-off from $9,990 om $6,108). Maar, the long-run outlook remains bearish for now.

Op pers tyd, bitcoin is changing hands at $6,700 on Bitfinex.

4-hour chart

As seen in the chart above, the 4-hour candle crossed the upper Bollinger band in a convincing manner yesterday, signaling a bullish Bollinger band (standard deviation of +2 en -2 on 20-candle moving average) breakout.

Trading volume also picked up (circled on chart), adding credence to the bullish move. Intussen, the cryptocurrency has also found acceptance above the 50-candle moving average (MA) and the relative strength index (RSI) is biased bullish (above 50.00).

so, BTC will likely clear the immediate resistance at $6,736 (yellow dotted line) and test supply around $7,024 (23.6 percent Fibonacci retracement of the drop from $9,990 om $6,108) in the next 24 ure.

It’s worth noting that the descending (bearish) 100-candle MA is located at $7,045, marking a key resistance level for the bulls.

The positive Bollinger band setup also validates the argument put forward by the bullish price-relative strength index (RSI) divergence last week that the cryptocurrency has found a temporary low at around $6,100.

Daily chart

BTC closed above the 10-day MA yesterday, invalidating the immediate bearish outlook. It also created a bullish outside-day candle on Monday (price action engulfed Sunday’s high and low) – that is, the day began on a pessimistic note, but ended optimistically. Thus, the probability that the corrective rally will gather traction is high.

View

  • BTC looks set to take out immediate resistance at $6,736 and rally towards $7,024 (23.6 percent Fibonacci retracement of the drop from $9,990 om $6,108).
  • A daily close (as per UTC) above that level would open the doors to $7,500–$7,600, although the rally could be short-lived as the long-run technicals are still biased to the bears.
  • Bearish scenario: A sell-off to $6,000 could still happen this week, if BTC closes (as per UTC) below the 10-day MA ($6,582) today.

Compass beeld via Shutter

Die leier in blockchain nuus, CoinDesk is 'n media outlet wat daarna streef om die hoogste joernalistieke standaarde en bly deur 'n streng stel redaksionele beleid. CoinDesk is 'n onafhanklike bedryfstelsel filiaal van 'n digitale Geld Group, wat belê in cryptocurrencies en blockchain starters.

https://www.coindesk.com/7000-bitcoin-rally-could-gather-pace-after-six-day-high/

Usi Tech omskep jou lewe met die maklikste en mees passiewe Bitcoin belegging

Laat 'n antwoord