Crypto

What we witnessed today was a round of profit taking in the U.S. dollar, gold and Bitcoin. Bitcoin futures as of 5 PM EST are trading down about 2.5% at $7,200. Even with a dip in pricing today BTC is still acting very bullish and should continue onto higher pricing. Today marks the fifth consecutive higher low for Bitcoin futures and the first open above the 21-day exponential moving average since February 19th, at the time BTC futures were trading above $10,000.

Bitcoin is reacting to markets rallying today. Some of which like the U.S. indices are surprisingly all trading up over 6% at the close, I say surprisingly because I believe it is unwarranted. Experts say that the equities are responding positively to news that Europe may have passed its apex of new Covid-19 cases meaning that the new cases by day should start to decline. In the U.S. the apex is expected to occur on or around April 15th.   

 

Bitcoin showed signs that it is no longer trapped inside a narrow range and has made its exit from sideways trading. Next week will likely take it to higher pricing. When it broke out of its price range of $5,700 to $6,700 yesterday when BTC futures had their first close above $6,700 since March 12th. The high on March 12th was just at $8,000 which is also were I believe BTC is headed next week.  

Bitcoin had quite a jump today with CME futures up over 10% at $6,870 as of 3 PM EST. Last night we had a jump in pricing that took Bitcoin futures up to $7,345.

Bitcoin futures closed down today by approximately 1.8% at $6,355. Today’s lower pricing took Bitcoin back below the .78% retracement at $6,342 which it was able to regain footing above in the last few minutes of trading. This is the third day we tested this key level and BTC was able to close above it all three occasions.

Bitcoin futures on the CME are currently at $6,475 up 1.5% on the day as of 5 PM EST. However the high of today at $6,600 is very telling and suggests range bound trading is set to continue. As we stated yesterday a break above $6,700 on a closing basis would be bullish and a break below $5,700 would be a bearish sign.