Bitcoin continues to rise while failing in another attempt to break under the $ 5,800 mark. This could lead to the creation of a double fund on the daily schedule, signaling that a long-term uptrend is in order.
However, the 100 SMA is below the 200 longer-term SMA to indicate that the path of least resistance is downward. In other words, the selloff is likely to resume rather than the other way around. Even the 100 SMA seems to hold up as a dynamic resistance for the moment.
Then again the gap between the indicators is shrinking to signal a weakened bearish pressure. However, a bullish crossover may take longer.
RSI is still climbing to show that buyers have a little more energy to take the higher price, but the oscillator is approaching the overbought zone to reflect the exhaustion. The Stochastic is already in the overbought area and lowering could lead to a return of sales pressure. In this case, bitcoin could be reduced to a minimum of $ 5.800.
The price would still have to complete the training by testing the neckline at around $ 8,500, with a break up enough to confirm that the order is rising. This would make the chart about $ 2,700 in height, so the resulting climb could be the same size.
Bitcoin has drawn support from the withdrawal in risk appetite in global financial markets, partly attributed to the US-Mexico trade operation. It also helps the new CFTC data to reveal a decline in downside bets on bitcoin futures, which could pave the way for a stronger rebound expected by the end of the year.
However, investors could still resist before the SEC decision on bitcoin ETF applications. The regulator is reviewing his previous decision to reject some applications and is still conducting the comment period for another set until next month.