Bitcoin Lacks Short-Term Directional Bias Amid Friday Rebound

Free $ 100 Forex No-Deposit Bonus

Bitcoin price recovered from the current weekly lows of around $ 10,120 and rose above $ 10,300 in a consolidated pattern. However, Bitcoin is still lacking momentum to generate directional dependence in the market, although it recently hit a multi-month high of $ 10,522.

The price of the pioneer cryptocurrency appears to have found support outside of the 100-hour SMA line, which triggered today's upswing. The RSI indicator also shows that there is still some room to run up, which keeps the bulls optimistic.

Bitcoin Price Fundamentals overview

From a fundamental perspective, Bitcoin is trading after a very busy period in the US market. While the corona virus continues to wreak havoc on world markets, things seem to continue as usual in the US markets. This is partly due to a positive earnings season in which most Fortune 500 companies have exceeded expectations.

Based on the latest economic data from the United States, the BTC / USD may continue to have difficulty establishing a directional dependency. The US CPI for January hit year-on-year, but failed to meet (monthly) expectations. In addition to the import price index (year-on-year comparison) for January, the retail group missed expectations on Friday. On the other hand, the Michigan Consumer Sentiment Index exceeded expectations from 99.5 to 100.9.

Initial unemployment claims also exceeded the forecast, with 205,000 claims versus 210,000 expected. However, the monthly budget for January showed a larger deficit than expected, at $ -33 billion compared to $ -11.5 billion.

Technical analysis of the Bitcoin price (60-minute chart)

Technically, the price of Bitcoin seems to have a bullish trend in the short term. BTC / USD continues to trade in an ascending channel, with the 100-hour SMA acting as a strong support. This bull run now doesn't seem to have enough momentum to push it further, which could lead to a temporary withdrawal.

Therefore, the bulls are aiming for short-term gains of around $ 10,414 or more at $ 10,522. On the other hand, the bears will try to make profits around USD 10,139, USD 9,998 or less at USD 9,806.

Technical analysis of the Bitcoin price (the daily chart)

On the daily chart, the bitcoin price appears to be trading in an ascending curve under strong upward pressure. This is the case after the pioneer cryptocurrency price hit a low of around $ 6,885 earlier this year. Bitcoin has also risen to the overbought level of the RSI indicator on the daily chart. This could trigger the next withdrawal.

The bulls are aiming for long-term gains of around $ 11,070, $ 12,195 or more at $ 13,449. On the other hand, the bears are aiming for a pullback gain of around $ 9,556, $ 8,027 or less at $ 6,885.

Source link

Be the first to comment

Leave a Reply

Your email address will not be published.