Posts in Category ‘course’

Bitcoin (BTC) – Price Analysis KW20 – At the Edge of the Upward Channel

From 10 to 12 May, the share price fell by 12 per cent. There it was able to catch up again and rise slightly. This upward trend, together with the development between 12 and 17 April, describes the support from an upward channel.

The Bitcoin code course fell this week

The Bitcoin code development since the beginning of February can be described in the form of a symmetrical triangle pattern. Since the middle of April, the Bitcoin code has been moving in an upward-channel. Overall, one comes to a neutral price estimation. The most important support is currently 6,873.00 Euro, the first interesting resistance is 7,450.00 Euro.

As already described in the Altcoin market analysis, the Bitcoin price fell victim to FUD this week. Overall, it lost 12 percent compared to the May 10 price. There, however, he was able to catch himself again and recapture some of the lost territory. Currently the price is just below the exponential moving averages EMA50 and EMA100.

The MACD (second panel from above) is currently negative, but is rising. Accordingly, the MACD line (blue) lies above the signal (orange).

The RSI is at 53 and thus bullish.

From the indicators one would get a rather bullish impression. However, what prevents this is a look at the long-term development:

We see that Bitcoin has been going through a triangle pattern since the beginning of February. Recently, the resistance of this pattern was tested – without success so far. Although it is still interesting to look at the daily candles that the price is currently testing the EMA50 as resistance, the positive but falling MACD and the RSI at 50 with the above values lead to a neutral assessment.

Support and Resistance of the Bitcoin code

The first Bitcoin code support is 6.873,00 Euro and is described by the minimum of May 12th. This roughly coincides with the support of the current up channel. Another support is described by the plateau between 30 March and 11 April at 5,698.59 Euros. This is at the level of the Triangle Pattern support. Read more info about the Bitcoin code.

The first resistance is 7.450,00 Euro and thus on the level of the EMA100. If the price should overcome this level, a further resistance would be described by the price before the price fall of this week at 7,882.00 euros. This resistance is also equal to the resistance of the triangle pattern mentioned above.

Entry Points, Stop Losses and Targets
The neutral assessment advises to wait and see. If the price falls below the support level, this would be an interesting entry for a short position. Target would be the support of the triangle pattern, stop loss the first support at 6.873,00 Euro.

Should the price bounce off one of the supports or rise above the first resistance, this would be an interesting entry point for a long position. In the first two cases the support lines can be used as a stop loss, in the case of a breakthrough of the resistance the EMA50, which is currently around 7,400 Euros, is the best choice. The target would be the resistance of the triangle pattern at 7.882,00 Euro. After the breakthrough of the triangle pattern, risk takers could hope for a retest of the resistance from the upward channel and aim for another target at about 8,500 Euros. In this case, however, the stop loss should be tightened accordingly!