FX.co ★ teagan.orn | #Bitcoin chart analysis

Trading instrument Bitcoin - D1 chart. The overall trend here can be called neutral. The wave structure is forming upward. The MACD indicator is in the upper buying zone above its signal line. Earlier a very ambiguous situation had developed. The price was squeezed between levels. When earlier prices rose from the very lows they reached the area of the horizontal resistance level 65960. They went slightly above it; clearly this was a higher-level inaccuracy. There was an opportunity for a decline here; the level, and the CCI indicator as well, was ready to move down from the upper overbought zone. Moreover, on this indicator you can see a bearish convergence - a strong sell signal. At the support level it was a decent signal. Some decline occurred, but at the same time there was a support level below at 63438. This is a mirror level at the edge of the decline, and as is known such places are very strong, so at that time there was a contradiction. I believed that the price might pause roughly at this level and a struggle between buyers and sellers would unfold. Most likely in the long term Bitcoin will resume its growth. However, it has a habit of moving sideways for a very long time with wide swings. You can be in long positions for months while it finally starts a new directional upward move. But it was visible that the US dollar dominated the market overall and this trend affected this instrument as well. As a result, the price was pushed below the low. At the same time, a bullish divergence formed on the used MACD indicator, a very decent signal for growth. In addition, as confirmation there was a reversal pattern — a descending wedge. A mirror level 60752 was formed below; the price tested its area from above (considering the margin) and tried to rise. For a long time the price moved in ranges at the bottom, several weeks, not daring to develop the growth that was clearly brewing. In the end there was a substantial upward move over a few days and the rise continues. Clearly, the price will aim to renew the level 83034. After a prolonged pause and attempts to decline, the price is gradually moving toward the set target. And despite the bearish divergence on the used MACD and CCI indicators, you should not sell. These signals may work, but only after the indicated top is renewed.

Chart H4. So far this week the price is somewhat sagging within a narrow descending channel. I still expect upward movement because the peak indicated above has not been renewed. Selling is clearly not advisable.