Bitcoin Price Sits on $7K, Gathers Steam for Upward Move
December 2, 2019 by Ramiro Burgos
After taking another disappointing hit last week, the bitcoin price has settled again around the $7,000 USD mark. What sort of prompt could move it up or down from there? Read our weekly technical analysis to find out.
Also read: Bitcoin Price Is Now Below $7K – What Does It Mean?
Bitcoin Price Technical Analysis
Long-Term Analysis
The bitcoin price has gone lateral again, recognizing the ascending curve of a Rounded Bottom Formation at $7,000 USD, which then couldn’t gather the pieces for an upward movement… so far.
Considering Gann’s Angles criteria, quotes could balance the selling pressure at the current level by maintaining the sideways movement and walking away from bearish channel influences.
According to Mass Psychological Analysis, the Hope phase seems to be giving way to disbelief, and now depends on News for a reversal reaction which could lead the price action higher to $8,000. On the other hand, if the price action slips down, our next support can be calculated near $6,000 instead.
Mid-Term Analysis
Mathematical indicators seem to be backing a temporarily balance among offer and demand. Quotes have started to walk laterally, away from new bearish channel influences, but unable to overcome the $8,000 resistance this time. From there the Rounded Bottom curve, working together with increasing volatility, could boost an uptrend reaction.
The first wave reaction matched Fibonacci Numbers’ 38 percent mark, and after some smooth retracement due to Elliot’s second wave forecast progress, the third movement of the same theory — if confirmed — would take the action closer to higher levels.
Short-Term Analysis
Japanese Candlestick’s offer’s Crows control 4,000 basis points, which configure an imaginary battlefield from $12,000 to $8,000, expelling demand Soldiers down to $7,000 and below.
Mathematical indicators are ready to bring them logistical support to prevail in battle if and when Soldiers strike back. These days, with the action balanced among contradictory News and confusion, the trend could chain up successive small technical reactions. They could then gather the pieces to grease the gears of several developing theories, like: Contrary Opinion, Rounded Numbers, Gann Angles, Elliott Wave, Fibonacci and Dow.
Back to the present situation, Bollinger analysis reflects that prices failed in their attempt to cross the center line and $8,000, and have stayed in the bearish band, which recognizes a support near $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.
