Bitcoin signals: Bitcoin neutral in the short term, pauses the uptrend

The Bitcoin market remains neutral in the daily charts. The sellers have withdrawn from the trade, the buyers do not finish appearing strongly, the quotation is absorbing both positions, for almost a month, the high prices are going down and the low prices are rising, drawing a figure of symmetrical triangle.

The relative strength indicator, RSI, is located at the end of Friday afternoon, at 46.14 points, showing an undecided and neutral market, far from the daily resistance at 17,153 dollars and daily support at 10,249 dollars.

The MACD indicator sent a clear sell signal, which was confirmed with a "death cross" at the cross of the 15-period and 30-period moving average, which led Bitcoin to a maximum of $ 19,850. minimum of $ 10,680 last December 22. The negative news in recent weeks that have reinforced the decline of Bitcoin are China's regulations to mining companies for the high consumption of electricity, as well as South Korea's recent ban on the use of cryptocurrency in that country. Added the statements of the investor Warren Buffet, known for his successes in matters of investments, who said that the Bitcoin will end badly.

The "bears" have almost a month without being able to control the market, so the sale options have been disappearing, however the "bulls" have tried to take control of the market with a resurgence last week, and they have not been able to impose themselves.

A symmetrical triangle formation occurs, which already has two crests and is in the formation of a second valley. This type of training shows an indecisive market, as you can see in the candle of the monthly chart, a "doji" in the month of January, which announces change of trend or correction, but for the long term. The symmetrical triangle formation traps the prices until its final vertex, which will produce the escape that could be bearish or bullish. It is a figure that shows the uncertainty of the market in the coming days, although usually triangle figures are a break from the trend that brings the price, which is bullish, but also in the long-term charts, the prices are over bought and a correction could produce new drops to lower areas.

If the triangle is completed we will have to wait for the escape, if it is bullish, Bitcoin could resume its previous trend until reaching $ 24,000 in a few weeks, in case the break is to the downside, we could see the prices in the area of ​​$ 7,500 .

Prices are referenced with the WEX.nz platform

Forecast date: January 12, 2018

Send reward to 1LNm2dXbrEDGZH6uYT9C98c8KbbGFhdiSg