As Bitcoin rises steadily, the US dollar continues to weaken and major exchanges strengthen, demonstrating high investor interest in risky assets.
Even though we were seeing the perfect storm for a new collapse in the markets, Biden as the new president of the United States, a 90% effective vaccine against Covid 19, and a trade deal in Asia has been changing investor sentiment. .
Few impulses in the history of BTC have spanned as many days as the current one. And although it still does not have the same strength as the one seen in 2017, it is still possible that it will surprise us.
The artificial intervention of central banks on financial markets is being one of the main suppliers of greed to investor sentiment.
Dan Tapiero, a microinvestor, assures that we should expect more injections of liquidity. This creates a scenario in which Bitcoin, gold, silver and other assets that function as hedging against inflation will undoubtedly benefit.
The majors don’t want to sell, but technical analysts are beginning to see signs of exhaustion
Institutionalists continue to store Bitcoin as it rises non-stop, which says it has a clear long-term vision.
Likewise, the amount of BTC available on exchanges is in free fall, and the speed of production of new coins was cut in half recently. In general, the supply is decreasing by galloping steps.
Although these are undoubtedly bullish signals, this does not cause the price to escape the totally natural corrections necessary for healthy growth.
Michael van de Poppe, technical analyst, yesterday tweeted his view of the markets today, summing up with the following words: “we are at a crossroads of direction.” Think that in case Bitcoin breaches $ 15,500, we will see a correction towards $ 13,000 or less.
The market in general is at crossroads of direction.
Breaking below $ 15,500 and I assume we’ll see a correction across markets with $ BTC to possibly $ 13,000 or lower.
– Crypto Michaël (@CryptoMichNL) November 15, 2020
Tone Vays, crypto analyst and youtuber, thinks that the top of the current momentum could be between $ 17,000 and $ 18,000. He also believes that the current push will not take us to all-time highs.
Statistician Willy Woo exposed through his Twitter his vision of the current situation, and explains that we are in the typical scenario to buy when the price falls, basically produced by the coins that leave the exchanges as new users arrive. to the ecosystem.
Weekend trading setup:
Shaking off some bearishness technicals (4h RSI div, 8h TD9).
Short and mid term on-chain fundamentals bullish, more coins scooped off exchanges, more users arriving.
Buy the dip scenario.
– Willy Woo (@woonomic) November 14, 2020
Bitcoin rises non-stop, but its price chart already shows exhaustion
When analyzing the weekly BTC vs USDT chart, we noticed a very developed momentum that has just been met with significant resistance at $ 16,130.
The moving averages EMA of 8 and SMA of 18 weeks are crossed to the upside, and away from the current price. It is possible that they function as dynamic supports if BTC is looking to pull back soon.
Already the candle that closed yesterday is of much lower volume than the previous ones, which is beginning to show exhaustion.
If Bitcoin manages to break through the resistance it is currently at, the ground will be clear towards the all-time high zone. Even this is likely, however, I prefer the scenario in which we first see a correction.
The price of Bitcoin goes up non-stop. BTC vs USDT weekly chart. Source: TradingView.
The short-term trend continues in the hands of the bulls
On the daily chart we still see that the short-term trend is bullish, and the candle that is opening today seems ready to mark a new annual high.
Despite this, we can notice how the impulses are getting weaker, behavior that is accompanied by a bearish divergence between the candlestick chart and the RSI.
The continuous succession of highs would be violated if the support at $ 15,297 is crossed, which would open the way to a relevant correction.
At the moment, no change of address has been confirmed. As Bitcoin rises non-stop, an impressive day may still surprise us.
Bitcoin vs Tether US daily chart. Source: TradingView.
All our publications are informative in nature, so in no case should they be followed as investment advice.
Did you like the content? Share it