Bitcoin price corrected downward earlier today as an apparent attempt at advance was slammed down by strong selling across the exchanges. Profit taking or is it reversal?
Time of analysis: 14h00 UTC
From the analysis pages of xbt.social, earlier today:
The strong RSI reverse divergence pointed out in yesterday’s analysis (magenta annotations) was exacerbated by additional downward price correction and, yet, price failed to push to a new high after two attempts. Ongoing sideways correction at the current level is, therefore, the outlook.
Today’s second attempt at advancing above $584 (Bitfinex) was slammed down below the 1hr 20MA (at the green arrow). With MACD (indicator panel just above price) settling on its zero line, the prospect of consolidation is reinforced.
If MACD dips below its zero line then a move toward the 200MA (red arrow) is likely.
Bitcoin price is selling off more frequently from the market’s attempts at $590 (Bitfinex). Some exchanges have touched $600 but a few remain short of this self-evident psych target. Price may consolidate for a push toward it, but sentiment seems to be leaning toward selling and these could be the rally highs for now.
What do readers think? Please comment below.
Readers can follow Bitcoin price analysis updates every day on CCN.LA. A Global Economic Outlook report is published every Monday.
The writer trades Bitcoin. Trade and Investment is risky. CCN.LA accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.
Bitcoin price charts from TradingView.
Image from Shutterstock.