Posted in: Archive
Published:
June 2, 2015 4:52 PM UTC

Bitcoin Price Still Looking Lower

Bitcoin price has wound sideways during today's Asian and European trading sessions. At least one more wave of decline is due, as evident from technical analysis of the price chart. This analysis is provided by xbt.social with a 3 hour delay. Read the full analysis…

Bitcoin price has wound sideways during today’s Asian and European trading sessions. At least one more wave of decline is due, as evident from technical analysis of the price 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.

Bitcoin Price Analysis


Time of analysis: 10h49 UTC

Bitfinex 1-Hour Chart

Why The Preference For BTC-China Charts In Analysis?

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

As we approach the $215 / 1350 CNY support level, we’ll be looking for signs of a bottom – not to pick it and trade it but to spot the reversal and then look for confirmation of a change of trend.

With this being a larger and more labored wave of decline, we’d expect a bottom to be complex as several smaller degree waves conclude. The MACD value of yesterday’s low is circled in magenta. Its maximum for the wave of decline confirms a third wave of decline and we, therefore, expect wave to the downside to still unfold.

Once price reverses from the bottom, it will advance through the 1-hour green 20MA and should then use it as support to move higher. If the market were in an advancing trend, then we’d wait for price to establish above both the 20MA and 200MA (red) in order to confirm advance. However, this is a corrective phase, and by the time price reaches the red 200MA the upward correction would, for the most part, be over. Our trade entry will therefore be based on other indicator signals and not the usual xbt.social moving averages buy signal.

Remember the clever speculator is always patient and has a reserve of cash. – Jesse Livermore

CoinCompetition

The second day of this week’s CoinCompetition, and some familiar names in the leaderboard, plus some new ones who caught yesterday’s declining wave just right.

Boem! leads the pack, followed by mrfish and Siexpert. Trailing in 8th place, the terrifying Diabolicus, just waiting to possess the number 1 spot.

Join CoinCompetition and win bitcoins. Weekly round started June 1st. Winner: 1 BTC, Runner-Up: 0.25 BTC

Summary

Bitcoin price is correcting sideways prior to a final drop to support. The bottom may be found at $215 or $210 (if the Bitfinex orderbook is an indication). Once price finds its low, upside reversal will be confirmed by price advancing, and holding, above the 1-hour chart’s 20-period moving average (green curve in the chart above).

Bitfinex orderbook depth shows strong buying support at $210 – the support floor established by price action since February this year.

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 11:05 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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