Bitcoin Price and the Golden Cross. Risks and potential of these market-days
What Market Phase are we entering into has been the introductory question for our last appointments. Are we going to listen to the Bulls or the Bears? Are we going to see a Bull Market or a Bear Market?
Welcome to Surfing the Market, we are already at our 40th appointment and I hope that with these easy tech analysis we have helped you in some forms, even just to evaluate different market perspectives.
Let’s start from our usual weekly perspective
Source: Tradingview - Weekly Chart
Price is consolidating in the 23k$ area. After two weeks, that’s still a good sign but we must be very careful with volumes and potential upcoming news.
Then, so far, still quite good.
What do I expect from a daily perspective?
Source: Tradingview - Daily Chart
Price is quite stuck in the 23k$ - 24k$ and this is fresh air from the 16k we were in the last weeks but there is still some uncertainty upon the next trend. The area just below the price from picture has already acted as a resistance in mid September, meaning that this price level have requests and demands. Therefore I am looking even more to the next dates with potential updates.
Source: Tradingview - Dollar Stregth Index
DXY has found a big bounce up from the 100 area that acted as a strong support. 100 in this case was very likely to be especially a psychological support.
50MA and 200MA are still below the price action. The 50MA (red) has just crossed upwards the 200MA (blue), triggering the Golden Cross that historically is a very strong bullish signal. Anyway, we must be very careful with such signals because bull-traps may happen here! So let’s be somewhat bullish, but still cautious.
Source: Tradingview - Daily Chart
Ichimoku Clouds are gaining more width, creating a large area from 20200$ to 22400$, meaning that this can be our next potential support area. The wider they are, the thicker the volumes can be in that area so some healthy patterns are showing up here, for a potential next bullish movement.
Source: Tradingview - Daily Chart
Stochastic went towards the oversold area due to the correction of the last days. Oversold means that there has been some selling pressure but selling pressure creates often more suitable conditions for buyers to buy.
Source: Tradingview - Daily Chart
And now, what from a Volume perspective?
Source: Tradingview - Daily Chart
Volumes are quite constant with no relevant peaks (yet), and on average they are higher than the stall phase from December. So, price is stuck in the 23k$-24k$ area but in a healthy way. Volumes are still there.
What to observe particularly?
Yellow line I introduced acted as a strong resistance AND we faced the set-back of the price I thought of the in the last two weeks. Actually, two setbacks. But the local support is holding up, so we have some reasons to be quietly bullish.
Stay tuned and be sure to follow to get noticed when my contents come out.
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None of what I write can represent a financial advice in any form. So Do your own research before taking any kind of action.