Weekly Range Update: Elvis has left the building?

bitstampUSD 1 Day #1 2017-06-26 08_16_29.836
XBTUSD daily chart

XBT / USD Weekly Price Range is  1940$-2860$ | The Cross XBTUSD is retracing and I think it might reach the VWAP average at 1940$.
However, we must not forget that bitcoin remains in a strong position as long as it remains above the mid-term VWAP and in any case it must break down the 2400$ level (first positive dev.line) to confirm the short-term bearish trend.

The scenario for a new top at $ 3400 has been postponed and for now my January forecast of a maximum yearly excursion to $2900 is turning out to be correct.

As for the altcoins in general, I can say that we will see a general implosion of all altcoins, I’ve recently posted on twitter a mid-period level analysis for litecoin with the “KAMA v1.1” indicator that you can find on tradingview.com

To conclude, the average of the RSI oscillator is approaching the oversold zone and I believe that a buying opportunity might materialize over the next weeks.

In case of extreme fall, the support area is updated to $ 1100-1400.
ITA Version here.

Long Term Update: 2Y VWAP

bitstampUSD 7 Day #4 2017-06-19 08_06_27.980
XBTUSD Weekly Chart since 2016 – 2 Years Vwap

This week i feature a weekly XBTUSD chart of last 2 years, including a two-year VWAP average with deviation lines. For more than two years bitcoin has been above the 2Y WVAP and in recent weeks has moved far away from this average with a strong upward trend. In the attached chart I included a static resistance at 2900$ that I had calculated in the yearly forecast that I publish each January.

It’s unlikely that I’ve called the top for this year and as I said to some users in the comments in one of my previous articles, I think there is room to enter the resistance zone highlighted in the chart. The support zone, if a medium-term correction is made on the weekly chart, is the price range from 1600$ to 2200$.

The range for this week is 2330$-2780$ and in case of a catastrophic fall, the usual support area is 1050$-1350$.

ITA version here.

Short Term Update

Midweek updated deviation levels and VWAP

bitstampUSD 1 Day #1 2017-06-15 09_09_07.029
XBTUSD Daily Chart

Price today tested the first positive deviation line (bitstamp data), 2 months VWAP is now at 1789$ and in case of a further drop below it I’ll increase my long term position, from 150 to 175 bitcoins.

RSI oscillator is near the midline (50) and when there are strong uptrends it usually acts as support, i don’t think it will go straight to oversold without a rebound first.

Weekly Range Update: flirting with resistance

bitstampUSD 1 Day #1 2017-06-12 09_28_13.020
XBTUSD daily chart

XBT / USD weekly price range is 2600$-3000$ | Our beloved cross pair XBTUSD slowed its rise last week with a contraction of volatility without being able to stay consistently above 3k USD.
However, we must not forget that bitcoin remains in a very strong position since weeks being above the first positive deviation of VWAP and for more than ten days above the second deviation.
For this reason, I recently added a fourth line of deviation above VWAP that I normally don’t use, this 4th line defines the upper bound of resistance zone ranging from 3000 to 3400 dollars.

I think that XBTUSD cross could reach 3400 dollars this week or the next one considering that all the cryptocurrencies sector is going up massively though bitcoin is the one that is rising at the least speed. I have no sure explanation for this but I could hypothesize that it is because a decent amount of liquidity is flowing into altcoins draining resources from bitcoin.

The average RSI oscillator has returned over the overcrowded area and it is now obvious that in this extreme power situation this oscillator moves from the level defining the overcompatible which is 70 to full saturation around 95-100.

In case of extreme fall, the support area is 1050-1350 USD.

ITA version here.

Weekly Range Update

XBTUSD dailychart
XBTUSD dailychart

XBT / USD weekly price range at 2100$-2900$ | The VWAP is just below 1700$ and the XBTUSD cross is always above it confirming mid-term bullishness.

I have told you many times that when a market is in a very strong position it can move between the first and second price deviation line except for rare cases where it can be between the second and the third line.
From a couple of days back it’s above the second price deviation line and I think that the current rally will continue pushing the bitcoin towards 2900$.

The average of the RSI oscillator is just below the overbought area and I think that bitcoin will ignore this indicator that may remain overbought for a certain period of time due to the fact that the dominant timeframe is the weekly one and as mentioned earlier I think this aspect can push bitcoin over the previous maximum of 2750$.

In case of extreme fall, the support area is 1050-1450 USD.

ITA version here.