Bullish but range bound

Bitcoin futures are trading up on the day by a respectable 3.8% or $360, currently trading at $9,675 on the CME.  Although this a great day for the bulls and re-affirms that support is sitting right at $9,250, the 78% retracement it doesn’t have much room to the upside without taking out the elusive $10,000 level.

We remain bullish on Bitcoin for the time being with the caveat that more sideways trading is likely. If the market does move sideways expect to see prices range from $9,200 to $10,000.

On a four hour candlestick chart Bitcoin looks extremely bullish as the latest six candles (sessions, 4 hours) have been green. Similar finding were reported by other analysts such as FXStreet, “BTC/USD bulls have remained dominant for six straight sessions to shoot the price of BTC/USD up from $9,286.54 to $9,700, so far this Monday. The SMA 20 is looking to crossover the SMA 50 to chart the bullish cross pattern. The RSI, however, has dipped into the overbought zone, indicating that the price is currently overvalued. The bulls will need to conquer resistance levels at $9,745 and $9,780 to take over the $9,800 psychological value next.”