Despite Bitcoin Price Blues, Hope of $10K Springs Eternal
October 21, 2019 by Ramiro Burgos
There is still hope! The bitcoin price may have gone lateral around the $8,000 USD level… but it could soon leave in favor of a moderate chance to revert to an axis level around $10,000. Read our weekly technical analysis for the details.
Also read: Bitcoin Price: Is $8K the New Normal or Can it Bounce Back?
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Bitcoin Price Technical Analysis
Long-Term Analysis
After a lateral movement which drove prices away from their bearish channel influence, the trend matched a long term rounded bottom curve and seems to be ready to start a moderate reversion from the current $8,000 level to the former $10,000 axis. Fibonacci Retracement Numbers Theory also points to $10,000 as a theoretical scenario. From there, the market would balance in order to climb to higher levels — depending on News, fundamentals and political factors.
According to Mass Psychology Analysis, a Hope phase could consolidate if and when quotes overcome that recent $9,000 broken support.
Mid-Term Analysis
The trendline re-framed into Fibonacci Retracement theory, which favors a bullish movement to recover the 50 percent mark they slipped down from a month ago, when external factors harmed general Bullish Consensus.
In favor of this idea, the active sideways movement values have kept values out of the bearish channel influence so far. Backed by mathematical indicators, they would be able to start an upward-looking recovery. On the other hand, if prices stay below $9,000 too long, we could consider a support at $6,000 as a new 3,000 basis point scenario.
Short-Term Analysis
Japanese Candlestick Demand Soldiers seem to be organized to defend the current $8,000 level, and could even re-enter their former battlefield between $9,000 and $12,000.
Mathematical indicators turned to the up side and it could boost the quotes up as well, keeping the trend in a bullish frame.
The psychological trigger seems to be the Fibonacci 38 percent retracement level near $9,000, but if that level becomes a resistance and Offer´s Crows arise, the same 3,000 basis point battlefield could be a possibility from there to the down side, re-activating a support 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
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