Posted in: Archive
Published:
May 5, 2015 10:30 PM UTC

Bitcoin Price Correction Bounces Up

Yesterday's Bitcoin price correction continued in early trade and eventually found chart support at the 200-period moving average (MA). At the time of writing a bounce off the 1-hour 200MA seems to have legs, provided price can hold above the 200MA in the 4-hour chart.…

Yesterday’s Bitcoin price correction continued in early trade and eventually found chart support at the 200-period moving average (MA). At the time of writing a bounce off the 1-hour 200MA seems to have legs, provided price can hold above the 200MA in the 4-hour chart.

This analysis is provided by xbt.social with a 3 hour delay. Read the full analysis here. Not a member? Join now and receive a $29 discount using the code CCN29.

Price Analysis


Time of analysis: 16h58 UTC

Bitfinex 1-Hour Chart

Why The Preference For BTC-China Charts In Analysis?

From the analysis pages of xbt.social, earlier today:

The bounce from the 1-hour 200MA continues higher while the 15-minute chart (not shown) flashes bullish signals.

Here in the 1-hour chart the indicators favor continuation to the upside:

RSI (not shown), although showing no divergence on the last subwave down, had clearly reverse diverged to the previous market low.

The MACD indicator is rising from a sustained low at its lower Bollinger Band.

These are bullish indications that favor a change of short-term trend back to the upside. It is not a buy signal, however. A buy signal will show up sooner or later after price had made a lower high in a B wave or starts building a base for a larger advance.

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Summary

Bitcoin price is, currently, back above the 4-hour 200MA after briefly testing it earlier today. A bounce higher is underway and may target a lower high in the chart – as a B wave before decline resumes – or build a base for an additional advancing wave. Watch price action in relation to the 4-hour 200MA: it must hold support for short-term advance to remain in force.

Bitfinex orderbook depth and buy/sell volume:

Click here for the CCN interactive price chart.

What do readers think? Please comment below.

This analysis is provided by xbt.social with a 3 hour delay. Read the full analysis here. Not a member? Join now and receive a $29 discount using the code CCN29.

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Disclaimer

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.

Bitcoin price charts from TradingView.
Images from Shutterstock.

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Last modified: January 25, 2020 11:06 PM UTC

Venzen Khaosan @venzen

Market analyst and Open source developer with a keen interest in blockchain technology, consensus mechanisms and the decentralizing effect. He has found a solution to the PKI mechanism. Email me to discuss.

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