Bitcoin Value Going Lateral Across the Board Between $8000 and $10000
The bitcoin and cryptocurrency markets are trending upwards, with bitcoin value hitting over $10000 just this week. This surge settled back to $9760 roughly at publication time. This rise looks to be establishing a higher bottom. The charts are showing some interesting signals. Let’s take a look.
Bitcoin Price Technical Analysis
Long term analysis:
Many different external factors stimulated the general mood, while prices were backed by a strong bullish consensus when they overcame the resistance analyzed the bitcoin value at $8000. This is what triggered the general feeling to enter a hard distribution area on the way up to $10000. Now demand is behaving like ducks into a shooting gallery, and according to Mass Psychological Analysis, the Hopeful phase still active but could change into Optimism.
To consolidate $10000 as a new lateral axis level and wait until there is this new scenario to gain confidence from different players, values would step back to $8000 and depending on how many ducks enter the sight of the shooters, quotes could keep going lateral there, following a new rounded bottom curve, which is there and helps the trend to avoid losing strength.
Mid term analysis:
A bullish scenario, was confirmed from the moment quotes surpassed the resistance evaluated at $8000. Yet many mathematical indicators had already covered it to their top limits during the last breaking upward movement. Now quotes can´t get enough traction to go higher alone. This means bitcoin value could stay at the current level until technical indicators swing down to their bottom limits. Thus driving the prices to $8000 and return up to prices by synchronicity across the distribution area to take the action beyond $10000 at a future stage.
Every rise attempt would face a hard distribution activity that harms the trend´s strength favoring a bearish correction or a lateral market. Major news and external factors contribute to sustaining the trend if and when they are positive.
Short term analysis:
The Formations Analysis reflected an inverted Head and Shoulders and a near term rounded bottom, this combined to a little flag seems to favor the prediction of a rise. Yet some mathematical indicators did not re-synchronized with the uptrend trend yet and they are exhausted. Fibonacci Fan Lines were activated boosting prices to enter the Japanese Candlestick imaginary battlefield fairy example, controlled by distributors crows.
Demand soldiers did it well to prevail when the Crows clashed three weeks ago, but the crows have been reordered by regulating the offer and seems to be ready to strike back, to take hold of battlefield sending soldiers to $8000. If this action continues, demand could sustain a lateral market while waits on mathematical indicators to reinforce the trend.
What do you think will happen to the bitcoin price? Share your predictions in the comments below.
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Images via Pixabay, Ramiro Burgos
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