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What do we think Bitcoin will do?

What do we think Bitcoin will do?
Asked by
Nigel Frith categorie-icon time-icon7 months ago

I am look at the stock analysis as below:

I read this from Cointelegraph but these seems to be a few things happening around the world that could support Bitcoin getting stronger – for example, I am seeing stories like this:

Although Bitcoin has been trading in a small range, the sentiment remains bearish. The price continues to trade below both moving averages, and the RSI has been in the negative territory since Jan. 10. The failure of the bulls to scale above the 20-day EMA shows weakness.
btc bitcoin price forecast analysis

1 Answer Answer Question

Jo Cook
Answered time-icon7 months ago

There were more than five attempts by bitcoin price to clear the $3,500 and $3,520 resistance levels. However, buyers struggled to push the price above the $3,520 resistance, resulting in a significant drop in BTC, Ethereum, XRP, and other cryptocurrencies.
Here are some workings on what I think we are seeing: (courtesy of blockonomi. com)

Looking at the 30-minute chart of BTC/USD, the pair traded as high as $3,521 and later started a significant downward move. The pair traded below the $3,475 support level and the 25 simple moving average (30-minute) to move into a bearish zone.

The decline was strong as the price broke the $3,420 support as well and a new monthly low was formed at $3,405. Later, the price bounced back and traded above the $3,430 and $3,450 levels.

There was a break above the $3,440 level and the 25 simple moving average (30-minute). Moreover, the price tested the 50% Fib retracement level of the recent slide from the $3,521 high to $3,405 low. However, buyers struggled to gain momentum above the $3,460 level.

At the outset, the price is following a short term declining channel with resistance at $3,455 on the same chart. The current price action suggests that there could be a minor upside break above $3,455. Having said that, the previous key support at $3,475 is likely to act as a strong barrier for more gains.

Therefore, as long as bitcoin price is trading below the $3,475, $3,500 and $3,520 resistance levels, it remains at a risk of more downsides. An initial support is at $3,420 and $3,400, followed by $3,340.

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