S negative week is about to end for the price of Bitcoin. Today we will be conducting a trend analysis of the BTC, in order to forecast the possible future in the short term.
Bitcoin price analysis
The best way to make a quote prediction for the near future is to review the time frames from major to minor, in order to have a view of the whole picture.
Despite the fact that the week was one of losses for a large part of the crypto market, Bitcoin still maintains an upward trend for the medium term, identifiable by the weekly chart.
The exponential 18-week and simple 8-week moving averages are crossed upwards, and are functioning as dynamic supports in the midst of the upward climb, which we have experienced over the last few months.
The 200-week SMA is also bullish at present, supporting the historical positive trend of the largest of the crypt currencies.
From this time frame we can observe the relevance of the large resistance zone, located approximately between USD 10,350, and USD 9,950.
The presence of sellers there is the reason why today the price is falling again.
However, even the Bitcoin bears have a very important obstacle, and it is the support at USD 8,750, which makes the medium term trend upwards.
At the moment, the descent we are witnessing is not yet very relevant. An escape above USD 10,000 is still the most likely scenario.
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Short-term BTC trend
From the daily chart is where we can start to see the damage caused by the recent price drop, capable of changing the trend in the short term.
The fast moving averages, excellent for quickly identifying the trend of Bitcoin, are crossed in a downward direction.
Currently, the price of The News Spy is showing the intention to start a new bearish momentum, which could reach the neighboring USD 8,750.
As I explained in previous paragraphs, it is still possible to observe the entry of important purchases in an unexpected way, taking into account that the major trends always have greater strength.
However, we must also consider that markets are fractals, and what happens in small time frames ends up influencing the larger ones.
At the moment, short sales do not have much room to develop.
Let’s wait for how Bitcoin reacts to the nearby media, we’ll be informing you about what’s going on from here.