Bitcoin is currently recovering slowly and steadily around $ 7,000. Has the bearish market sentiment subsided? Or are the current gains due to the large-scale market sales?
Where btc breached on Thursday resistance at $ 6,450 and continued to rise to a weekly high of $ 6,600. This was before a brief decline to $ 6,400. The weekly chart shows that btc is about to set a higher price bottom. After breaking this pattern last week, a few more weeks of higher declines will be required to determine whether direction change is likely.
Graph for 4 hours:
Since retreating from the weekly high ($ 6,597), btc could not stay near the 200-day SMA at $ 6,612. As of this morning, a pattern of lower gains continued as the RSI and Stochastic started to decline from the oversold area. This repeated decline at $ 6,530 is due to the absence of a bullish trading volume in each attempt. If btc falls below $ 6,414 (20-day moving average) and $ 6,358 (50-day moving average and the latest low), it may reach Back to $ 6,270.
Btc needs to overcome yesterday's high and start the 200 day SMA, which is also in line with 38.2% Fibonacci retracement at $ 6223. There will also be a more convincing move to btc to achieve a midpoint point at $ 6,780 from last week's low of $ 7,400.
The btc was able to close above the 10-day moving average, while the overall moving averages are still sloping down, started to stabilize. While the RSI rises to the middle of the channel through a neutral zone and Stochastic rises from oversold territory. A Doji candle yesterday shows a degree of hesitation. But fortunately, btc continued to record the highest rise not shown on the chart.
The hourly btc return chart shows frequently from $ 6,570 to $ 6,550. Indicators for the 20 and 50-day moving averages should be short-term support. However, moving to the lower BB arm and stochastic and relative strength indicators sharply suggests that the btc may retract slightly while continuing to consolidate throughout the day.
Outlook
Bt c has a good location for short-term gains but remains bearish on speculators as speculators continue to rise after repeated declines and set the daily and 4-hour moving averages. Now, btc needs to overcome the 200-Day SMA at $ 6,612 and resistance at $ 6,710 when the 100-Day SMA is used.