Bitcoin price has been spending time meandering around this area of the chart. There are some immediate signals having effect on price, but over all there is nothing to trade at the moment.
Bitcoin Price Analysis
Time of analysis: 15h04 UTC
Bitstamp 1-Day Chart
From the analysis pages of xbt.social, earlier today:
The smaller timeframes do not give clear signals other than showing the zigzagging ascent followed by pullbacks. A long-term view, in the 1-day chart, highlights two immediate areas of interest in the chart:
1) Notice in the far left of the chart what had happened the last time the 20MA (green) fell below the red 200MA. Granted, that was during fullblown decline, but we should be on the lookout for a surprise at the current price juncture.
2) Following an instance of reverse divergence in the RSI indicator (top), price has turned down below its 20MA (green). The 20MA descent is less steep but the position of price in relation to the 20MA and 200MA remains bearish.
It may be tempting to trade to the downside, but there is no certainty as to what the current target may be. Similarly, going long here could see us sit out a pullback to near $200 before price turns back up.
There are no clear signals in the bitcoin chart at the present time. The advice remains to stay out and wait for at least one more price wave to form and shed some light on the potential price pattern.
Bitfinex orderbook depth and Buy/Sell Volume:
What do readers think? Please comment below.
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Bitcoin price charts from TradingView.
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