The Bitcoin Prize broke out overnight and tested the $ 4k handle for the sixth time since the lions in mid-December 2018. Let's take a look at what this might mean going into the rest of the weekend.
Bitcoin Price: 4-hour chart
When we look at the 4-hour chart, we can see that the Bitcoin prize 0 0 bolted out of the ports almost immediately after Friday's light near , break the weekly area high by $ 3950 as we discussed earlier this week.
The bears entered and pushed the bitcoin price back from $ 4040 altitudes back to $ 4000 at the time of writing.
The next goal for the bulls is that they now need to turn the previous $ 3950 resistance to support.
We see on the chart that we could see that there was an early sign of price to look at the trend higher, with OBV and MACD both breaking out on the upside for dinner on Friday. 1
we can see that there are multifaceted arguments to support the case that the bulls want to take this market higher, the latter is a lower time-frame break in it 14 months of falling resistance and now an inverted head and shoulders that will also act as a third higher low for Bitcoin.
Should the bulls capitalize at this time, the measured move will be against $ 5k, but we will remain on a bear market. A bulky pause and close to $ 4200 would be extremely encouraging for the bulls. However, another mistake in breaking the $ 4k handle would be a strong reminder that the bears still have great control.
A quick preview of weekly charts shows that bitcoin is still capped by the midline of Bollinger Bands, which is the 20-week moving average.
This has been the bull's nemesis all the way through this bear market that occurred during the 2014 decline, which was ultimately broken in July 2015. This eventually became the indicator that the bottom was inside.
However, the bands (which are two standard deviations from 20WMA) are still very broad, which means that a move now by one of the parties will potentially carry a large selection with it, with heights of the bands being around $ 5500 and the lions are $ 2330.
In addition, Stoch RSI also looks set to be ready to roll over into the overbought zone, but this may still take some time to happen and is in violation of MACD.
As we have seen several times before these markets can take some time to bottom. In fact, even though it looks positive at the moment, this is not a finished deal yet, and there may be several more attempts to break this bear market.
Overall, this is an important and central point for the bitcoin prize. As we spoke earlier this week, pressure continues to build in this market, and it's just a matter of time before a more significant move happens.
Trading Bitcoin (BTC), Litecoin (LTC) and other crypto baskets on the online Bitcoin forex broker platform evolve.markets.
To receive updates to the author, you can follow on Twitter ( @ filbfilb ) and TradingView.
Views and opinions of the author should not be misunderstood as financial advice. For publication, the author holds Bitcoin at the time of writing.
Images with rights to Shutterstock, Tradingview.com