BTCUSD -- not going to get 4k yet?

in #bitcoin7 years ago (edited)


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BTCUSD

Apologies it has been a while since I have posted some technical analysis, but here goes, looking at Bitcoin USD. It is particularily relevant to watch movements in the USD as the Federal Reserve has indicated strongly intent to raise interest rates in December. Raising interest rates should strengthen the USD against its peers which now includes Bitcoin. It is still difficult to determine the strength of the correlation but just like how gold is priced in USD and therefore affected by its fluctuations, the same or similar can be observed in bitcoin.

daily

Following a nasty head and shoulders pattern bitcoin fell to $3000.00 and has since managed quite the recovery, working on reclaiming $4000. On the daily time frame resistance is found at the 30ema and the next area of resistance at the daily pivot, $4040.

Support is found at the 68 ema, $3707. I expect some range bound action as we may take note of the stochastic RSI which has not reached the bottom of its cycle (downtrend).

Screenshot 2017-09-26 16.42.28.png

4 hour

On the 4 hour time-frame, a bull flag appears to be forming and we are watching carefully for a breakout on volume or a continuation of the decline. It is prudent to note the stochastic RSI in uptrend, however the weak bullish divergence on the MACD. In order for bitcoin to remain bullish, it must hold the $3880 during this consolidation.

Screenshot 2017-09-26 16.42.10.png

If we look a little deeper into the chart, you will notice the possible M top that has formed on the 1 hour time frame, showing 3 rejections of $3976.

Bullish Above: $3976

Bearish Below: $3851

RISK TRADE: Scale into a bullish position, if $3851 fails to hold, close out the position.

Previous Articles:
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Weekly Overview
ETHUSD
bullish setups

Follow at your own risk, Not a financial adviser, understand the risks associated with trading and investing. Manage your own Risk - in other words you could lose it all and I could give a fuck.

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Really good technical analysis. I've noticed the rejections just shy of 4K and frankly didn't expect this strong of a recovery so quickly. I agree that if it gains support and breaches 4k, it's very bullish.

Thanks for the analysis @satchmo

If we break 4000$ bitcoin will only have one way, up :D
Thanks for the info

Absolutely, taking and holding the daily pivot will be critical for continued bullishness. The only thing im weary of is that stochastic RSI which has not fully cycled

I love your analysis style mate. I've given you a follow.

See you around!

Resteem this post 😀

thanks Arie

You are welcome..

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hey thanks for that link! pretty cool tool!

Come join us on Discord.
https://discord.gg/NBRVqd

Pop goes the weisel! Thanks for the info! Cheers from Mexico!

Hmm.. In my analysis test of the upper limit of the Cloud of the indicator near the 3800 level is expected, from which it is expected to attempt a rebound and continue growth with the target close to 4450....

I feel that today or tomorrow it's going to cross 4k... :) Let's see !

@Sacthmo Haha, I told you yesterday that BTCwill cross 4k... & it did it ;) So, who's genius ?

Short of all that technical jargon, I just like to think positive that we will see $4,000 this week!