Fibonacci retracements.
The current situation allows to draw a clear Fibbonaci retracements levels, which are drawn from the bottom of the daily downtrend and started an uptrend at pivotal level of $29300, and ended at the new all time high at $69000.
What the current Fibonacci tells us?
Key takeaway is that the current support is located at $44462 and then at $38666. If the price breaks below $38666, and closes below this, a crypto winter could begin.
But let’s not skip ahead so much. As of right now the price of Bitcoin is very oversold and finding support at either of these levels is very likely to happen. As of you may know, the 0.382 level is pretty reliable of term of being the corrective bottom.
And the bespoke corrective bottom at $44662 perfectly matches with the weekly 50 EMA!
Relative strength index.
Demand indicator is showing that the demand is at oversold extremes. The fact that RSI is located below 40 means that daily momentum is present throughout the past two weeks and can occur any time.
A positive discovery is the fact that there is a variance between the price action and overall demand, which has created the current bullish divergence, which will support the price or bring a correction to the upside.
RSI is based on the candlestick close price and the clear bullish bullish divergence can be spotted as RSI is printing new higher lows, meanwhile the price action is creating a lower lows, although it shouldn’t! This has created the bespoke variance.
Moving average convergence divergence.
Or MACD in short, the wave indicator is unsurprisingly also at oversold extremes as it currently seems to be ending the third selling wave in a row. As you may know from our past analyses, outlooks, 3 waves are usually it and the a wave in the opposite way come.
However, the fact that the wave will turn into a positive trend doesn’t necessarily mean a trend change to the upside or not even a move to the upside, so be wary of this.
What we can tell is that the price will fall only slightly or stagnate. The MACD lines consisting of 12 and 26 have to break above neutral levels in order to give a proper buy signal. As of right now, it’s only a near bottom signal.
Conclusion.
From all we’ve learned today from this technical analysis we can say that Bitcoin doesn’t have much room to move the downside, but will move a bit lower before extending higher. Bitcoin should be close to a local bottom, swing low which could potentially end the downtrend.
The current situation allows to draw a clear Fibbonaci retracements levels, which are drawn from the bottom of the daily downtrend and started an uptrend at pivotal level of $29300, and ended at the new all time high at $69000.
What the current Fibonacci tells us?
Key takeaway is that the current support is located at $44462 and then at $38666. If the price breaks below $38666, and closes below this, a crypto winter could begin.
But let’s not skip ahead so much. As of right now the price of Bitcoin is very oversold and finding support at either of these levels is very likely to happen. As of you may know, the 0.382 level is pretty reliable of term of being the corrective bottom.
And the bespoke corrective bottom at $44662 perfectly matches with the weekly 50 EMA!
Relative strength index.
Demand indicator is showing that the demand is at oversold extremes. The fact that RSI is located below 40 means that daily momentum is present throughout the past two weeks and can occur any time.
A positive discovery is the fact that there is a variance between the price action and overall demand, which has created the current bullish divergence, which will support the price or bring a correction to the upside.
RSI is based on the candlestick close price and the clear bullish bullish divergence can be spotted as RSI is printing new higher lows, meanwhile the price action is creating a lower lows, although it shouldn’t! This has created the bespoke variance.
Moving average convergence divergence.
Or MACD in short, the wave indicator is unsurprisingly also at oversold extremes as it currently seems to be ending the third selling wave in a row. As you may know from our past analyses, outlooks, 3 waves are usually it and the a wave in the opposite way come.
However, the fact that the wave will turn into a positive trend doesn’t necessarily mean a trend change to the upside or not even a move to the upside, so be wary of this.
What we can tell is that the price will fall only slightly or stagnate. The MACD lines consisting of 12 and 26 have to break above neutral levels in order to give a proper buy signal. As of right now, it’s only a near bottom signal.
Conclusion.
From all we’ve learned today from this technical analysis we can say that Bitcoin doesn’t have much room to move the downside, but will move a bit lower before extending higher. Bitcoin should be close to a local bottom, swing low which could potentially end the downtrend.
