Now that Bitcoin has ascended past $60k, there are a ton of questions about where its headed at this point.
We're going to try our best to answer that question with a comprehensive price analysis
Bitcoin Price Analysis
In the chart above, we can see:
A strong underlying support point for Bitcoin (tracking back to early February)
Waning momentum on the daily resolution (if we take a look at the previous two candles that have formed)
Ambiguous price action across the $60k mark.
Quick Volume Analysis
Generally, when the price makes a move across or below a major support or horizontal overhead resistance like the $60k mark represented for Bitcoin over the past few weeks.
For this portion, we're going to take a look at the BraveNewCoin Liquid Index since they provide an aggregate of all of the Bitcoin exchanges in their data results.
More specifically, to isolate the candles that we're looking at in question here:
This next candle (which is still forming on the daily resolution at the time of writing), is showing is significantly more volume right now on the daily resolution (curiously).
Let's take a look below:
Librehash Reversion Ribbon V2
This indicator is tentatively bullish on the daily resolution for Bitcoin.
At the very least, we can see it indicating potential bullish momentum in the latest candle forming on the daily since it is dark green, but with a red outline, if you look closely (which is a bit troublesome this early in the rally above $60k)
Apart from that indicator though, everything other signal emitted by the Librehash Reversion Ribbon V2 appears to be bullish thus far.
- The indicator is showing growth in the histogram (which indicates divergence / widening of the ribbon; this is particularly bullish when the ribbon is green)
- The histogram is dark green, indicating extreme bullish momentum
Balance of Power RSI
Deciding to leave the charts alone for the time being, we're going to take a journey over to the Balance of Power RSI
Overall, the Balance of Power RSI is bullish on the daily resolution.
Soon there will be a 'line of best fit' to help us come to a finite conclusion about what we're seeing on the Balance of Power RSI as well as the Librehash RSI (slight augmentation to the regular RSI).
In the chart above, we can see that the overall trend for the Balance of Power RSI has been a northern direction.
The same assessment that we made for the Balance of Power RSI can be made for the Librehash RSI(14) as well
Once again, we would more than likely be benefited substantially if we augmented the code with a 'line of best fit' to provide us with a definitive assessment for the trajectory of these indicator lines (that's coming soon), but for now we're going to use a classic rule, which is that of: higher highs and higher lows indicates a bullish overall direction
Cryptomedication Volatility RSI
This is another reliable indicator that should give us good intel on the momentum & volatility of Bitcoin (on the daily resolution)
What we see above tells us:
- Momentum & volatility are both headed upward
- Since Bitcoin's price was stagnant previously, volatility indicates greater price action, in general
- Momentum heading upward is a direct reference to the price (so the price is swinging upward with greater volatility)
We remain tentatively bullish on Bitcoin in the short-term. This is definitely one that we want to revisit in the coming days to assess whether anything unexpected has manifested itself within the underlying price action.
For a price forecast, we're going to stick with the one that we made a few days ago here: https://www.tradingview.com/chart/BTCUSD/o3RLo1ui-Bitcoin-is-About-to-Get-its-Wings/