Bitcoin BitcoinAverage, April 12, 2016 — The price of bitcoin had little to show last week relative to the range of price movement mostly sideways trading, which hit $423 on the upper limit and $415 on the lower end.
This article was provided by the Vanbex Group on Behalf of BitcoinAverage . The Weekly BitcoinAverage Report
The most exciting activity was a run up to $424 on April 8th, applying counterweight to the previous week’s low of $416.
Later, a sell-off to $412 after failing to break to break up wards ruffled some feathers.
The low shook out the feeble hands, turned traders bearish and tossed off weak bulls as many had been expecting a final break of $425. Seen above — a 12-hour chart on Bitstamp — it shows how little activity there has been since the $389 dip in first week of March.
Clearly, $424 has proved itself a hurdle with three consecutive failed attempts to break the mark. There is optimism however, as all the low dips have respected increasing lows establishing a rising trendline, which included this week’s $412 low on Apr. 9. The one-day chart of exponential moving averages (EMA) shows support by both 30- and 50-day EMA lines.
The pattern highlighted in the rectangle resembles a squeeze before a pop in either direction, similar to that seen from Jan. – Feb. 15.
The price could break out to $440 if EMAs continue to support, otherwise, a failed break could fall to $400 or below. Furthermore, the direction of a breakout is not clear on one-day charts with simple moving average (MA) lines.It seems there is no real support from 30-, 50- and 100-day MA lines. The whipsaw (up, then down movement) seen certainly adds to uncertainty.A price fall is possible with projections slated at $375, at worst. […]
