After all, stocks and commodities emerge to be on weaker footing and delicado to any trade war escalation.
Bitcoin bulls proceed charge after previously busting through the neckline of a dual bottom reversal pattern. Price also broke above its bullish flag continuation pattern to signal further upside momentum.
Price is stalling at the next area of rente so another pullback or bullish flag may be due. Ter any case, a rising trend line can be drawn to connect the latest lows of bitcoin price movements, so this may hold spil a near-term floor.
The 100 SMA has finished its crossover from the 200 SMA to indicate that the path of least resistance is to the upside. This means that the uptrend is more likely to resume than to switch roles. The moving averages are also near the trend line to add another layer of dynamic support on a larger pullback.
RSI has reached overbought conditions, however, which means buyers are feeling fatigued. Turning lower could bring selling pressure back ter and support a pullback. Similarly stochastic is turning down from the overbought region so bitcoin price could go after suit.
Near-term support may be found around $6,400 or at the $6,200 area near the moving averages. A pauze below this region could lead to another test of support at $Five,800.
Some say that the latest rally is merely a dead cat bounce since there emerge to be no major catalysts sustaining the gains. Others attribute this to profit-taking from the earlier losses and some optimism that the fresh month and quarter could bring more positive developments.
The US dollar has bot mostly supported despite headlines on further trade tensions, but it seems that cryptocurrencies are attracting more of the risk-on flows. After all, stocks and commodities show up to be on weaker footing and frágil to any trade war escalation.
Analysts proceed to make strong predictions for bitcoin price ter the coming months, with some projecting that it could reach $20,000 to $50,000 by the end of the year.