Bitcoin price is caught in a market-wide down-draft and has fallen through the boards of a once promising channel of advance. It looks like we’re heading back to the consolidation support floor and, then, back to the trade planning drawing board.
This analysis is provided by xbt.social with a 3-hour delay. Read the full analysis here . Not a member? Join now. Bitcoin Price Analysis
Time of analysis: 14h00 UTC Bitstamp 1-Hour Candle Chart
From the analysis pages of xbt.social, earlier today:
Price continues being drawn lower amidst a global commodities slump as gold, oil and many other commodities turn to the downside. Meanwhile stocks and the US dollar are re-approaching their highs of earlier this year.
The 1hr chart does not have an explicit, confirmed sell signal for the current decline. Additionally, the 4hr chart is still several candles away from forming the bearish cross-over we watch for at xbt.social. Hence we assume that the present downdraft is part of the ongoing consolidation.
Price should find support near $650 or $640 from where we would then expect to see a buy signal form and for advance to begin. In the BTC/CNY charts, the channel illustrated in yesterday’s analysis (and in blue in the chart above) was breached to the downside earlier today, which means that price is likely to dip below the 1hr 200MA red across exchanges and brings the lower range of the consolidation zone ($640 Bitstamp) back into focus.
The current declining wave may not be the last, yet resist the temptation to trade short without a confirmed signal. If there is a large decline starting, then we will get signals for the bulk of the move – IF they signal downward continuation below $640. Summary Bitcoin price is sold lower on a down-day for commodities. Today’s declining […]
