Bitcoin price could go either way during the coming hours. Price has been trading sideways around $260 and 1600 CNY and a break-out to either side seems likely.
Bitcoin Value and Price Analysis
BTC-China 1-Hour Chart
From the analysis pages of xbt.social, earlier today:
Today’s initial update outlined two possible wavecounts along with targets - $277 (1650 CNY) to the upside and $240 (1480 CNY) below. Price action is slow and has not made any attempts at making a move toward the targets. If the current wave is an advancing wave, then it needs to convince us by heading higher from a corrective low that should, conceivably, have generated a strong bounce.
Here in the 1-hour chart we see that the price action following the recent low has not displayed any characteristics of advance. It might be too early to judge, and we may need to give the market more time to “get in gear”, but the consolidative price action shows the market is equally balanced between bullish and bearish sentiment, and may need a catalyst to decide direction.
Price is now below both the 20MA and 200MA in the 4-hour chart and has failed to touch the daily 200MA, nevermind get above it. That is our major criterion for conviction about an advancing trend. That failure, including having just lost its position above the daily 20MA, requires us to discard the notion of advance if price cannot quickly regain position above the 20MA - possibly on a breakout.
To the downside dropping to $160 and 900 CNY is not yet a prospect since there are previous support levels at $230 and $210 along the way.
Bitcoin price is drawing sideways after having advanced from yesterday's lows at $246 (Bitfinex) and 1525 CNY (BTC-China). At the time of writing price is trading sideways around $260 and 1610 CNY with the prospect of a breakout, to either direction, possible: $277 (1650 CNY) to the upside and $240 (1480 CNY) below.
The Bitfinex Buy/Sell volume indicator shows the last day's buying and selling has been equal - the last hour has been for buying. Expecting a breakout to the north?
What do readers think? Please comment below.
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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.