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Thursday, April 5, 2018

Bitcoin Price Analysis – April 5



Highlights
  • The medium and short term trend bias are bearish.

  • In a downtrend, a trader should know that if price retraces from the recent low, a resistance level would be created. This gives the trader the opportunity to place short trades.


BTCUSD Medium-term Trend: Bearish
 Resistance: $7,000, $6,900, $6,800
 Support: $6,400, $6,500, $6,600
Yesterday, BTCUSD pair had a bullish outlook but the bullish movement was short-lived. Bitcoin which was trading at $7,429.57 yesterday lost control to the bears who took the price to $6,621.17, as at the time of writing. However, from the weekly chart, the 20-day moving average crosses below the 50-day moving average indicating a bearish outlook of Bitcoin. 

Price is falling and moving towards the previous low of $6,500. However, the RSI period 14 is level 21 which indicates that the market is oversold suggesting bulls could take control of the market for a biref bounce. As the market is oversold, traders could look for buy setup to form in order to place long trades.



BTCUSD Short-term Trend: Bearish
From the daily chart, you will find price of Bitcoin making series of  lower highs and lower lows symbolizing a bearish movement. The bearish trend line over laps the price bars showing resistance levels where a trader can make short positions. In a downtrend, a trader should know that  if price retraces from the recent low, a resistance level would be created. This gives the trader the opportunity to place short trades.
Meanwhile, the RSI period 14 is level 67 which indicates that price is in the bullish trend zone.


The views and opinions expressed here do not reflect that of CryptoGlobe.com and do not constitute financial advice. Always do your own research.



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