Bitcoin price (BTC) starts the week off on the right foot
19. August 2020
After the explosive escape of the price of Bitcoin above $10,000, a bidding area near the $12,000 was a hindrance to the bulls, holding back the price for several days. But today may be the start of a new Bitcoin Billionaire momentum. If you are interested in knowing where the BTC may go in the near future, stay tuned to this publication.
Technical Analysis of Bitcoin Price
We start by reviewing the weekly BTC vs. USDT chart, to identify the medium term trend.
Currently, the 8-week EMA and 18-week SMA moving averages are crossed up, following the medium-term uptrend. As long as support at $9,208 is not broken, this direction remains intact.
From this time frame we see a developing momentum, and no valid retracement.
It was possible that the supply zone around the $12,000 level would cause this retracement before continuing upward. But for now, it seems that we will first look at the price to look for the 2019 high, close to $14,000.
Comparison of Bitcoin vs. stocks: price movements
In the daily timeframe, we clearly observe the range in which the price of Bitcoin has been locked in, for the last 20 days or so.
This range has been locked in an upward direction, in the form of a flag, a chartist figure that indicates a break before the continuation of the previous trend.
Today we are seeing the bulls intent on breaking this pennant at the top. This will undoubtedly cause a significant upward momentum.
The 8-day EMA and 18-day SMA moving averages are crossed upward, functioning as dynamic supports while continuing the short term uptrend.
The 200-day SMA is also bullish at the moment, supporting the big price rise over the last few months.
On this chart, immediate support is found at $11,760, and as long as it is not crossed, the short term upward direction remains intact.
The closest targets to look for if the pennant is crossed are $12.540 and 13.093 respectively.