- 2018-09-24
Bitcoin (BTC/USD) finished its previous trading week at 6710.
BTC was traded below MA line at the beginning of the week and then broke up through the line.
Today BTC tries to go down in the direction of MA again.
The price reached 6800 but couldn’t break through that level and retreated lightly down. And today it was falling and now is at 6640.
Additional indicator’s lines (Stoch RSI) entered the Overbought zone. But today they try to cross and go down and out of the zone again.
The price broke through 6400 and 6600 levels and tried to break through 6800 level (0.236, 0.382, 0.5 Fib retracement levels) and went down again. So BTC can go and try 6600 and 6400 levels next.
The price has reached Overbought zone and tries to go down again. So this movement can be rather intense.
On larger timescale (week) BTC seemed to begin a downtrend. There was new maximum (lower than previous) but BTC hasn’t drawn new minimum yet. So it looked that we had Triangle.
Now the price broke lightly down out of it but now it returned into the Triangle.
If the price breaks out of the Triangle we can expect rather intense fall or rise (depending on the direction of breaking movement).
If the price breaks through 6000 level it will make a new minimum and will show distinct downtrend.
BTC was traded above the MA for the last 3 days. And today it is still there but it makes moves in the direction of crossing the MA. If BTC crosses the MA from above it’ll mean the signal of bearish move.
Oscillator’s indicators entered the Overbought zone. But now they crossed and look like trying to go down. If they go out of the Overbought this will mean BTC’s further downwards movement.
We expect that BTC can go down and try 6600 and 6400 levels (can even come to 6250/6200).
But it can also alternatively go up for some days and try 6750/6800 and 6900 levels again.
We have the distinct Flat now. But this is very dangerous situation. If the price breaks down out of the Triangle the the fall can be very quick and intense (up to 2000 points).
If BTC breaks up out of the Triangle it can rise very quickly and intensely too.
Don’t forget to put proper stop-losses according to your risk management!
NOTE. There is some sort of unpredictability of the market now. Indicators’ signals miss the real movement of price sometimes. The volumes of bought/sold BTC don’t correlate with the price’s moving. Oscillator’s indicators can be in Overbought/Oversold zone for a week or even more.
There can often be some plot to such a situation. If we notice such unusual (unpredictable) activity we’ll give its analysis and conclusions in our extra posts.
*predictions are made on the basis of several indicators. Only 1-2 indicators are shown on the screenshots for the purpose of not overloading the chart’s pics with technical details and indicators’ lines.