The $ 2.3 price range seems to be a crucial point for the market leader in cryptocurrencies, BTC. Since the Bitcoin drop of $ 4.9, the price has repeatedly crossed the $ 1.5 level and has recovered, and has been sitting at $ 1.5 at the time of release. Most of the time, the quotes follow the bitcoin price fluctuation, so that the bitcoin activity itself is a sign of the current market situation.
After a sharp $ 2.5 drop on September 9, it seems that Bitcoin and other Ramos are moving a few steps back from the overall market trend. According to the famous Twitter analyst Big Cheds, the downtrend is likely to be short-term in the coming days, but remains bullish over the long term.
Big Cheds predicts price reversal
He noted that on October 1, Bitcoin Kendall closed another week with a tweak pattern. This pattern occurs when two price candlesticks have low or high wicks. In these situations, patterns with a high candle can signal a return. The analyst noted that the tweak pattern occurred near the lower arm of the weekly Bollinger Bond Index, indicating that bitcoin prices were relatively at their bottom. He continued:
“Since July 1, as well as since May, bitcoin support lines have kept the price down, so we are unlikely to see a short-term jump. In addition, there is a hidden bullish divergence in price, which indicates a continuing uptrend. ”
Such support and divergence can be clearly seen in the chart provided by Big Cheds.
altcoins looking for support area
Since the inception of the Bitcoin multi-month merger, penalties have also been significantly affected. Their performance is largely dependent on bitcoin price performance and has not been able to get the right amount of traffic. Given the current outlook for the penultimate market, Big Cheds pointed to some of the positives associated with uncertainty. According to the analyst, penalties in general have been on the rise, with many of them forming price patterns, while others, including LINK, XRP and TNT, have risen.
After months of price fixing, it was expected that there would be an uptrend, but that did not happen. Bitcoin prices broke in a strong move without making any significant adjustments. Bitcoin’s price also didn’t have enough power to re-test its consolidated pattern. In addition, the recent bitcoin price movement is a bit similar to the November 7 price movement, which was followed by a downside. Interestingly, with the fall in bitcoin prices on September 9th, well-known trader Tone Vays argued that no new retail funds entered the currency space and that the mere lack of interest of retail investors could be a reason for not moving. Upward.
On the other hand, the weekly chart shows that bitcoin has not touched the Fibonacci retracement level yet. Such a level is often seen as a key point of profitability. In this sense, the recent downtrend seems relatively normal. Bitcoin is also close to a multi-week support level of about $ 2.5. In addition, this correction may partly be a result of the parabolic move of bitcoin prices in April and July 1.