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Bitcoin [BTC/USD] Technical Analysis: Bull run imminent as coin rides the green wave

Akash Anand

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Bitcoin [BTC/USD] Technical Analysis: Bull run imminent as coin rides the green wave
Source: Unsplash

The recent bullish surge in prices has provided a green scenery to the cryptocurrency market with double-digit prices becoming a norm among the top 5  cryptocurrencies. Major coins like Bitcoin [BTC], XRP and Ethereum [ETH], all plan to close the year on a high, improving investor sentiments along with price supports.

1-hour

The one hour graph for the world’s largest cryptocurrency shows a canyon-like formation due the dip and rise in prices. The downtrend brought the prices down from $4208 to $3638 while the recent uptrend lifted the value to $3856.86. XRP’s support has been holding at $3577 while the resistance is at $4211.

The Relative Strength Index has fallen back int9 the graph after breaking the overbought zone. This is an indication of the buying pressure being more than the selling pressure in the market.

The Awesome Oscillator shows an increase in market momentum after a lull.

1-day

The one-day XRP graph paints a picture of a cryptocurrency trying to recover after a downturn. The downtrend has seen the price crash from $6254.39 to $3885. The long-term support has been holding at $3167.22.

The MACD indicator shows the signal line and the MACD line going up after a bullish crossover.

The Chaikin Money Flow indicator has been displaying a consistent hold below the zero lines for quite some time. This points to the money flowing out of the market being more than the inflow.



Conclusion

The recent bullish high has been the second surge event in December which has worked to protect the price support of Bitcoin. A majority of the indicators points to a sporadic bull run with the bear keeping a close watch.





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Engineering graduate,crypto head and Arsenal fan. Is fascinated by technology and all its marvels. Strictly against pineapple on pizza.

Analysis

Bitcoin [BTC]: King coin’s Golden Cross confirmed; Greenspan hints at bullish market

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Bitcoin [BTC]: King coin’s Golden Cross confirmed; Greenspan hints at bullish market
Source: Pixabay

Bitcoin’s much-awaited Golden Cross, which many analysts claimed will lead to a resurgence of a bullish market, has been confirmed. The intersection of the 200-day moving average and 50-day moving average, which indicates the Golden Cross, was achieved over the past few hours.

Earlier today, the top cryptocurrency saw a massive rise after days of sideways movement. Bitcoin’s ascendance saw it break the $5,350 resistance level, which eToro’s Mati Greenspan had previously suggested will consolidate “buying pressure.”

Source: TradingView

Additionally, a major psychological level of $5,500 was also surpassed less than three weeks after Bitcoin broke the $5,000 mark.

The Golden Cross theory holds credibility among analysts in the cryptocurrency realm as it infers that the coin’s average price is above its 200-day equivalent. For the first time in over a year, the cryptocurrency market has seen its 50-day MA move above the 200-day MA, which according to many is a sign of a bullish market.

On the opposing side of the Golden Cross indicator is the Death Cross, where two indicators cross over into a bearish market i.e. the 200-day MA moves above the 50-day MA. The Death Cross manifested in April 2018, after the prices went into a free fall following the December 2017 high.

In April 2018, BTC was priced at just over $7,000, following which it lost more than 50 percent of its price by the end of the year. The price of the king coin has recovered exceedingly well in 2019 however, winning back almost 50 percent of its lost value.

Many analysts, including Greenspan, agree that the crossing of the two moving averages is a clear testament to the return of the bull market. Although he didn’t quite use those words, Greenspan tweeted,

“Ladies & Gents… The Golden Cross!
Bitcoin’s 50-day moving average (gold) crossing above her 200-day moving average (blue). 📈
This is yet another sign that we’re back in a🐂market. 🚀🌛”

However, in an exclusive interview with AMBCrypto last week, Greenspan had stated that the Golden Cross theory is a “lagging indicator,” as the Death Cross was last seen in April 2018, months after the market took a bearish turn.



In his view, the 200-day moving average is the key indicator. On April 2, Bitcoin broke this mark for the first time since March 2018, by recording a massive 17 percent daily gain and rising above $5,000.

Based on historic price changes with reference to the Golden Cross, the last time the 50-day MA soared above the 200-day MA, price of Bitcoin rose by over 8000 percent from $246 in October 2015 to almost $20,000 in December 2017. Given past market movements, the current market scenario, and the optimism in the air, the Golden Cross may just have initiated the Bitcoin bull market.





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