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 an upward pattern. The MACD indicator is in the upper buy zone above its signal line. Earlier a very ambiguous situation developed. The price was squeezed between levels. When earlier it rose from the very lows it reached the area of the horizontal resistance level 65960. It slightly exceeded it; it's clear that's within the higher-level's margin of error. There was an opportunity for a decline here; the level, together with the CCI indicator, was ready to move down from the upper overbought zone. Moreover, on this indicator you can see a bearish convergence - a strong sell signal. A respectable signal at the support. Some decline occurred, but at the same time there is a support level below at 63438. This is a mirror level at the edge of the drop and, as is known, such spots are very strong, so at that time it resulted in a contradiction. I believed that the price might pause around this level and a battle between buyers and sellers would unfold. Most likely in the long term Bitcoin will resume its growth. Only it has a habit of moving sideways for a very long time with a wide range. You could be long for more than a month before it produces a new directed upward move. But it was clear that the US dollar dominated the market as a whole, 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 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 of error) and tried to grow. For a long time the price traded in ranges at the bottom, for several weeks, not daring to develop the growth that was clearly brewing. In the end they flew up quite significantly over several days, then rolled back down a bit and got stuck deadlocked. I expected the price would try to retest the 82008 level. And as you can see a considerable rise occurred, the breakout above the top took place. The question is whether it will continue to develop. There is a potential reversal zone beyond the top, and a divergence on the MACD has formed. There was a drop to the area of the broken 82008 level and here the question arises. There seems to be a bounce, but it's scary to buy against the divergence... News to note today: 15-30 - Core Personal Consumption Expenditures (PCE) Price Index in the US and US GDP.