A good week ends for the Bitcoin and the cryptocurrency market. It broke with volume to the rise the 6200 dollars and the moving average of 100 days. It also came out of the bearish channel that it brought from late 2017, early 2018.
Bitcoin Technical Analysis looking for the next resistance
Bitcoin’s next resistance is at $ 8,200, we may think that after having passed the long-term bearish channel and surpassing the 100-day moving average, it will easily exceed $ 8,200. This resistance would enable the digital currency to seek the $ 10,000 in the long term.
In the short term the cryptocurrency broke with volume and strength the bearish channel, but needs to descend to continue taking bullish momentum. RSI in weekly about to give on purchase, weekly candles drilling the upper band of the Bands of Bollinger and MACD giving weekly sale. Possibly there is a drop in the price to your next support that is at $ 7,800. If the price exceeds $ 8,200, possibly seek higher prices but with their setbacks.
Driven by market news
The cryptocurrency market had a very complicated start to the year, with a pronounced profit taking that led to several assets remaining in a long-term bearish channel.
Did the news drive the rise? An old saying of Bolsa says … “Buy with the news and sell with the rumor” Possibly the market of digital currencies is being driven by two news that would guarantee that investment funds can buy assets of this market without taking possession of any cryptocurrency , this would be possible by the Bitcoin ETF next to exit prior authorization of the SEC of the United States in the month of August.
Another relevant news that spurred the entire market was the ETF of an investment fund that will pondered the ten cryptocoins with more market capitalization.
Another of the most relevant news that the market had was the declaration of members of the European Union, in statements they asked to reach an agreement to give a legal framework to a market that has just taken its first steps.
On the other hand, China and Japan already plan to authorize the purchase and sale of these assets for larger investors, on the other hand, the South American country, Chile, is seeking an agreement in the congress to endorse the purchase and sale of digital currencies and give it a legal framework that protects the retail investor.