Bitcoin plays a very important role in the crypto world. It can influence on other cryptomarkets positively and push them to new highs. It will be a good idea, if we look at BTCUSD -0.20% market closely and try to predict further price movements. In order to get better understanding about this market, I'm going to make a detailed market overview based on the weekly, daily and 4H charts. Let's start from the weekly, as it can show the main tendency for several months ahead.
Based on the weekly chart we can see that the market is in the uptrend. The price reached 20000.00 level and after that we got a correction movement. When the market dropped to the support zone , formed by SMA50, 6000.00 level and the uptrend line, we got a price reversal confirmed by RSI and the bullish candle. Now the price is at the downtrend line and the market is going to break this resistance and move higher. If so, it will be a solid signal telling us that the market will continue the uptrend.
Let’s look at the indicators. RSI confirms price reversal from the support zone at SMA50. MACD histogram is going to support the upward movement. DMI confirms trend market conditions and becomes bullish again.
The market corrected the previous huge upward movement from 3000.00 level to 20000.00 level and now it has potential for a new movement to the new highs.
Alternative variant: if the price can’t break the downtrend line and drop below 10000.00 level, we should be ready to see the falling to the previous support zone at SMA50.
https://www.tradingview.com/chart/BTCUSDT/T64CRHom-Bitcoin-Weekly-Chart/
That's good analysis but I'm afraid ( me only ) use weekly chart to enter and out from market, about the trend use monthly time frame. Never use RSI because too slow to give me respond but use MACD with long term setting to anticipated gap. Your analysis is similar with me and really nice to know that there's person with same strategy just like me. Success with you and keep up date your share for better strategy.
