Bitcoin price continued heading lower today and declined to an intraday low (at the time of writing) near $230 (Bitfinex) and 1440 CNY (BTC-China).
From the analysis pages of xbt.social, earlier today:
A new low for this declining wave and the signs of it nearing completion are starting to show. It may already be complete, but that can only be confirmed by price rising above the Fib line, overhead, and the 4hr 200MA (just above the Fib line).
As matters stand in the chart, we have divergence in the stochastics (top), as well as, their grouping at the oversold lower extreme. RSI (second from top) has diverged from price without a preceding instance of reverse divergence. These are signs that reversal is imminent, but price is below a Fib line that has acted as support, and the green 20MA can be seen crossing below the red 200MA – a bearish sign – so we continue to expect decline until a decisive reversal is seen in the chart.
The financial markets generally are unpredictable. So that one has to have different scenarios. The idea that you can actually predict what’s going to happen contradicts my way of looking at the market. – George Soros
CoinCompetition is in its final hours and, barring a $10 price move, the leaderboard seems final. It is interesting to note that there is no correlation between the number of orders the top 10 traders had executed during the past months and their ranking or trading profits.
The winner of the May round of CoinCompetition will be announced as soon as the competition closes. Readers are reminded that the next round of CoinCompetition starts tomorrow, 1 June, and that this round (and all subsequent rounds) will be weekly rounds with a 1 BTC prize for the winner and 0.25 BTC for the runner-up.
If you would like to participate (and did not previously register for CoinCompetition) you can visit the link below, submit your email address and preferred username. Then await further instructions via email.
Bitcoin price continues decline in the face of popular sentiment that expects advance. Chart indicators, specifically MACD and RSI can still tolerate decline until reverse divergence occurs to the low near 7 May (see the magenta line in the chart above). Once this blatant technical buy signal flashes in the 4-hour chart, the market might rapidly advance price back above the 200-period moving average and the Fibonacci fan line as had happened on two previous occasions during April (one instance can be seen in the left of the chart).
If reversal has already occurred, today, then we wait to see it confirmed by decisive advance above the 4-hour 200-period moving average and the Fibonacci fan line, as outlined above.
Bitfinex orderbook depth and Buy/Sell Volume:
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The writer trades Bitcoin. Trade and Investment is risky. CCN accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.
This post was last modified on (Eastern Time): 31/05/2015 17:45