Trendline breakout | low volume candle: watch out for fake-out
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Quick glance: BTCUSD recently had a trend line breakout on the 4 hour timeframe. However, the volume candle corresponding to the breakout was pretty small. Although a lot of people pounce on such breakouts, it is essential to watch out for the confirmation candle to hedge against fakeouts.
In our previous analysis on BTCUSD, we had correctly predicted Bitcoin to face resistance from the upper band of Bollinger Bands.
Market in the last 24hrs
The last 24 hours for Bitcoin were a bit of consolidation on the 4Hr timeframe.
Today’s Trend analysis
Bitcoin has given a breakout. However, the price could continue to hug the trend line for the short term as the lack of volume doesn't point towards a bullish momentum. Overall, it would be interesting to track BTC going into the week.
Price volatility remained low at approximately 3.8%, with the day's range between $34402.20 — $35702.85.
Price at the time of publishing: $35500.12
BTC's market cap: $665.24 Billion
Volumes have remained low in the past 24 hours.
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The analysis is based on signals from 26 technical indicators, out of which 15 are moving averages and the remaining 11 are oscillators. These indicator values are calculated using 4Hr candles.
Note: Above analysis would hold true if we do not encounter a sudden jump in trade volume .
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Keep supporting:)
-Mudrex
Quick glance: BTCUSD recently had a trend line breakout on the 4 hour timeframe. However, the volume candle corresponding to the breakout was pretty small. Although a lot of people pounce on such breakouts, it is essential to watch out for the confirmation candle to hedge against fakeouts.
In our previous analysis on BTCUSD, we had correctly predicted Bitcoin to face resistance from the upper band of Bollinger Bands.
Market in the last 24hrs
The last 24 hours for Bitcoin were a bit of consolidation on the 4Hr timeframe.
Today’s Trend analysis
Bitcoin has given a breakout. However, the price could continue to hug the trend line for the short term as the lack of volume doesn't point towards a bullish momentum. Overall, it would be interesting to track BTC going into the week.
Price volatility remained low at approximately 3.8%, with the day's range between $34402.20 — $35702.85.
Price at the time of publishing: $35500.12
BTC's market cap: $665.24 Billion
- Out of 11 Oscillator indicators,7 are neutral, 3 are bearish and 1 is bullish .
- Out of 15 Moving average indicators, 1 is 'NEUTRAL', 3 are bearish and 11 are bullish .
- Indicator summary is giving a ‘Srong Buy’' signal on BTCUSD .
Volumes have remained low in the past 24 hours.
----------------------------------------------------------------------------------------
The analysis is based on signals from 26 technical indicators, out of which 15 are moving averages and the remaining 11 are oscillators. These indicator values are calculated using 4Hr candles.
Note: Above analysis would hold true if we do not encounter a sudden jump in trade volume .
----------------------------------------------------------------------------------------
Keep supporting:)
-Mudrex
Comment:
As predicted in the analysis, the breakout happened to be a fake one. The large red candle following the fakeout shows the several stop losses would have triggered for those who went long on BTC without waiting for the confirmation candle.
