An increase of 27% on the week…The price of bitcoin has jumped yesterday, but also declined to bargain, above and below 100 and 200 bar MA on the 5-minute chart.
Today, after a dip earlier in the session, the price broke out higher with the momentum and the price marched higher. The cryptocurrency moved above the spike high from yesterday at about $7400 on its way to $7460 (double top).
The price has turned downward, and we are coming in on the weekend when the liquidity conditions are weaker, but for the rest of the day and in the next week, the market will continue to take cues from the technique.
Yes…. there will be times when the market breaks a support level, but then reverses. However, we do not know when to see the sky rocket gains, turn to a corrective fall lower. It is ok to sell and buy back if the momentum lower is not realized, and the price breaks to the nuts levels again.
For a week now , the gain is 27.12%. Ouch. The 200 bar MA comes to 7250.62. A downward trend of the line is below this level. Moves below each turns the tide a little more negative.
Looking at the hourly chart, the price ran away from the 100 hour MA at the thrust highest and followed them above a declining trend line. That Trend line comes in at $7117 now (and moving higher). If the trend line is broken, it would be more bearish for bitcoin (see chart below).