Bitcoin | Page 4 | The Gold Forecast

Bitcoin futures trade up but off of the 50-day M.A.

Monday, September 28, 2020 - 17:48 by Joseph M. Wagner II

Today we saw Bitcoin futures (BTC) post their 3rd consecutive gain for the day, currently up $150 or 1.39% as of 4:30 PM EST. Usually, this would be signaling a further bullish trajectory, and although this could be the case here’s why I don’t believe it is as of yet.

First and foremost is the intra-day high achieved today at $11,080. This price point is exactly where the 50-day moving average lies. A bounce to the downside was observed after reaching this technical indicator and for that reason, we remain neutral. However, a break above $11,200 would turn us bullish on the asset.

One of the more bullish signs we have witnessed today and for the past three trading sessions is the growing volume occurring concurrently with higher pricing. Gleaming any meaning out of this can be tricky and we don’t have to look back too far to see one of the only other instances of growing volume for three days of price advances. The last time and possibly the only other time we had three days of rising volume amidst three days of the rising price is back on May 8th of this year. What followed the next day for BTC however was a steep decline over the weekend leading to BTC futures gapping down over $1,200 on the open for Monday, May 12th.

So, our forecast from Friday remains and it “Is likely that it will remain in its current band of approximately $9,900 - $11,100 for the foreseeable future. Looking back on a longer-term chart reveals this is indeed BTC’s favorite point of congestion and what is only starting to resemble consolidation.”

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Previous Reports:

Tuesday, September 1, 2020 - 18:45
BTC futures closed out last month with a small increase for the month. That was enough of a gain that the close for August was second only to June 2019. A more bullish picture is almost finished being drawn out as well on a monthly candlestick chart due to prices above the Ichimoku cloud which has indicated massive rallies in Bitcoin before. According to Bitcoin Monthly, “Last night, Bitcoin... Read more
Monday, August 31, 2020 - 18:54
Bitcoin seems posed to hover around $11,500 until a major breakout occurs. Just as BTC has done three times since March I expect a move of $1,000 or more to be the most likely way for BTC to exit the sideways trading it is currently in. Although BTC futures are currently up over 1.2% today and gapped back above the 50% retracement at $11,576 I do not see this level as active support just yet.... Read more
Friday, August 28, 2020 - 19:35
Bitcoin futures just like gold were expected to pop higher after yesterday’s ‘non-event’ speech by Chairman Powell. Both assets however dropped sharply yesterday to the surprise of many traders. As Cointelegraph reported ~ “It could have been the confluence of the market pricing in the Jackson Hole symposium and the lower-than-expected inflation rate. The sell-the-news drop in the... Read more