$10K Bitcoin Price Again? Let’s Look at the Charts
The Bitcoin price could end its current sideways movement at $7,000 USD to go higher than $10,000… but as usual, there are many external factors at play. Read our weekly technical analysis report to see what could be coming in the near future.
Bitcoin Price Technical Analysis
Prices seem to be ending their lateral market, recognizing the ascending curve of a Rounded Bottom Formation at $7,000, while gathering the pieces for an upward movement to start.
Considering Gann’s Angles criteria, quotes balanced the selling pressure at current levels by maintaining their sideways movement, walking away from that bearish channel influence.
According to Mass Psychological Analysis, a Hope phase is active again, and is depending now on News for a reversal reaction. Our next resistance can be considered at $9,000 — which could would as a psychological trigger for an upward rally. On the other hand, if quotes slip down instead, the next support can be calculated near $6,000.
Mathematical indicators back a bullish reaction in favor of demand. If and when quotes overcome the $8,000 level, Fibonacci Retracement Theory would drive a zig-zag action to go higher than $10,000, gearing increasing volatility with basic technical tools.
Following the third movement of Elliott Wave Theory, a new bullish trend should be considered with enough strength to move the bitcoin price up near $8,500, from where a fourth wave correction could be expected on the way to higher levels.
Gann Angles Analysis reflects a congestion area which coincides with Japanese Candlesticks’ imaginary battlefield, where Offer´s Crows control 4,000 basis points between $8,000 and $12,000.
Combining both theories with Bollinger bands, Demand Soldiers could prevail in battle from $7,000 to $8,500, and if the rise confirms, they will depend on news and political factors to stay there or to develop the trend to move higher. On the other hand, if external factors take hold of the market instead, support remains at $6,000.
What do you think will happen to the bitcoin price? Share your predictions in the comments below.
If you find Ramiro’s analyses interesting or helpful, you can find out more about how he comes to his conclusions by checking out his primer book, the Manual de Análisis Técnico Aplicado a los Mercados Bursátiles. The text covers the whole range of technical analysis concepts, from introductory to advanced and everything in between. To order, send an email to [email protected]
Images via Pixabay, Ramiro Burgos
This technical analysis is meant for informational purposes only. Bitsonline is not responsible for any gains or losses incurred while trading bitcoin.