The bitcoin price has been in consolidation within a broad range 9000-13000 for the past 9 weeks. As we see in the daily chart, the sell off from the past days wasn't enough to push the price below the support 9400, which have been working as a strong support for the past weeks. We can also clearly see in the daily chart that an ascending triangle has been formed, having the support at 9400 as its lower boundary. The ascending triangle is a continuation pattern that suggests a pause before breaking out in the direction of the trend with renewed vigor.
After 3 days of indecision, it seems that the bulls gained some strength to push the price upward again. The 9400 support region is mostly bullish and very propitious for an upward reversal, even if it can be just a "dead cat bounce". Thus, it's important to keep eyes close to the volume for the next days to see if it grows with the trend. The volume in this case might be a key factor to determine todays bounce as a upward reversal or a "dead cat bounce". Convergence between trend and volume would confirm a short-term upward reversal, while divergence would fade it.
Expectations for the upcoming week:
After bouncing at 9400, we expect the price ranging between S1 and R3 over the week.
A breakout of the ascending triangle could pushes the price up to R2. In this case, if the bulls have enough strength to keep the price above R2, that would give the chance to reach the resistence at R3. Based on technical analysis, an extension of the triangle height determines Target1, which is the technical target after breakout.
In case bears push and keep the price below S1, that would change the short-term scenario for a bearish market, where we can expect bitcoin prices to plunge towards S2 and S3. Thus, S3 would be the last chance for the bulls to push back before the bears take over control, turning into a deeper correction till 6000 levels.
Levels to what for are:
Resistences
R1- 10400
R2- 10900
R3- 12000
R4- 12900
Supports
S1- 9400
S2- 8700
S3- 7600
This report does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation of any security, cryptocurrency or any other product or service by Transfero Swiss or any other third party regardless of whether such security, cryptocurrency, product or service is referenced in this report. Furthermore, nothing in this report is intended to provide investment advice and nothing in this report should be construed as a recommendation to buy, sell, or hold any investment, security or cryptocurrency or to engage in any investment strategy or transaction. Transfero Swiss does not represent that the cryptocurrencies discussed in this report are suitable for any particular investor. You are solely responsible for determining whether any investment, investment strategy, security, cryptocurrency or related transaction is appropriate for you based on your personal investment objectives, financial circumstances and risk tolerance. You should consult your business advisor, attorney, or tax and accounting advisor regarding your specific business, legal or tax situation.
After 3 days of indecision, it seems that the bulls gained some strength to push the price upward again. The 9400 support region is mostly bullish and very propitious for an upward reversal, even if it can be just a "dead cat bounce". Thus, it's important to keep eyes close to the volume for the next days to see if it grows with the trend. The volume in this case might be a key factor to determine todays bounce as a upward reversal or a "dead cat bounce". Convergence between trend and volume would confirm a short-term upward reversal, while divergence would fade it.
Expectations for the upcoming week:
After bouncing at 9400, we expect the price ranging between S1 and R3 over the week.
A breakout of the ascending triangle could pushes the price up to R2. In this case, if the bulls have enough strength to keep the price above R2, that would give the chance to reach the resistence at R3. Based on technical analysis, an extension of the triangle height determines Target1, which is the technical target after breakout.
In case bears push and keep the price below S1, that would change the short-term scenario for a bearish market, where we can expect bitcoin prices to plunge towards S2 and S3. Thus, S3 would be the last chance for the bulls to push back before the bears take over control, turning into a deeper correction till 6000 levels.
Levels to what for are:
Resistences
R1- 10400
R2- 10900
R3- 12000
R4- 12900
Supports
S1- 9400
S2- 8700
S3- 7600
This report does not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation of any security, cryptocurrency or any other product or service by Transfero Swiss or any other third party regardless of whether such security, cryptocurrency, product or service is referenced in this report. Furthermore, nothing in this report is intended to provide investment advice and nothing in this report should be construed as a recommendation to buy, sell, or hold any investment, security or cryptocurrency or to engage in any investment strategy or transaction. Transfero Swiss does not represent that the cryptocurrencies discussed in this report are suitable for any particular investor. You are solely responsible for determining whether any investment, investment strategy, security, cryptocurrency or related transaction is appropriate for you based on your personal investment objectives, financial circumstances and risk tolerance. You should consult your business advisor, attorney, or tax and accounting advisor regarding your specific business, legal or tax situation.