On the one hour linear Bitcoin Bitfinex chart you can see how price has wedged itself right into the corner of this wedge. The blue down-trending resistance line captures the highs back on the 24th of April all the way down until now and the black up-trending support line encapsulates the lows back at the start of the bull trend on April 1st.
Price over the past 24 hours really hasn’t done a whole lot except move sideways to a little bullishly up into this corner. It’s difficult to say where price may had next, however I think it will break downward. Many people I have seen on twitter are bullish and I do think there is a lot of bullish sentiment, but things are looking like they well head a little lower first.
Looking at the last high on Sunday back before price had fell sharply down to the black up-trending support line, all the way up to the highs of today we see price coming down, but when we look at the RSI, you will the RSI rising between those two points. I have used that pink line to mark the indicator and that is a hidden continued bearish divergence where price makes a lower high and the indicator makes a higher high.
You can see that MACD gives the same result looking at the highs on the blue wave line over the same period. Even checking out the histogram on the MACD you can see that small lime green line which is slowing downward as well, meaning the market is losing strength despite a higher price.
Overall, right now the MACD has flat-lined the last 4 hours and everyone is pretty much waiting on the sidelines to see which way this will break. All theses EMA’s are coiling up for a big move. Do not be surprised by crazy volatility when it does.
If it does break downward that purple horizontal line at $8,912 needs to be tested again first to see where the indicators end up. Next stop, would be that yellow downtrend line at $8,750 again.
On the daily linear Bitcoin chart on Bitfinex, you can see this continued consolidation accumulation period taking place. I ultimately think this is very bullish but over the next 24 hours price to need to head lower.
That doesn’t mean that price will break out of this measured move up pattern that we are seeing, but just to the bottom of the range, which could be those purple or yellow support lines. Even the yellow EMA line at $8,665 could be great support. All of these could be great places to ladder some buys, but as always do your own research.
The MACD looks like it desperately wants to break lower, but it doesn’t mean that it would completely reverse the last few weeks of bullish momentum. RSI would be good to see come down a bit further too.
The longer price continues to go sideways the more bullish this ultimately becomes.
Price over the past 24 hours really hasn’t done a whole lot except move sideways to a little bullishly up into this corner. It’s difficult to say where price may had next, however I think it will break downward. Many people I have seen on twitter are bullish and I do think there is a lot of bullish sentiment, but things are looking like they well head a little lower first.
Looking at the last high on Sunday back before price had fell sharply down to the black up-trending support line, all the way up to the highs of today we see price coming down, but when we look at the RSI, you will the RSI rising between those two points. I have used that pink line to mark the indicator and that is a hidden continued bearish divergence where price makes a lower high and the indicator makes a higher high.
You can see that MACD gives the same result looking at the highs on the blue wave line over the same period. Even checking out the histogram on the MACD you can see that small lime green line which is slowing downward as well, meaning the market is losing strength despite a higher price.
Overall, right now the MACD has flat-lined the last 4 hours and everyone is pretty much waiting on the sidelines to see which way this will break. All theses EMA’s are coiling up for a big move. Do not be surprised by crazy volatility when it does.
If it does break downward that purple horizontal line at $8,912 needs to be tested again first to see where the indicators end up. Next stop, would be that yellow downtrend line at $8,750 again.
On the daily linear Bitcoin chart on Bitfinex, you can see this continued consolidation accumulation period taking place. I ultimately think this is very bullish but over the next 24 hours price to need to head lower.
That doesn’t mean that price will break out of this measured move up pattern that we are seeing, but just to the bottom of the range, which could be those purple or yellow support lines. Even the yellow EMA line at $8,665 could be great support. All of these could be great places to ladder some buys, but as always do your own research.
The MACD looks like it desperately wants to break lower, but it doesn’t mean that it would completely reverse the last few weeks of bullish momentum. RSI would be good to see come down a bit further too.
The longer price continues to go sideways the more bullish this ultimately becomes.