As prices stabilized around $ 17,000-16,000, after volatility, which the last 24 hours were observed, and exchange spreadsnarrowing again, the market seems ready to go even higher in the not too distant future. Undoubtedly, this is not very good purely technically, we should be able to hedge if there are sharp recessions. With this in mind, as the market accelerates upward during this parabolic phase, the number of favorable risk / reward settings continues to decline, so we believe that the size of orders should continue to decrease as we move up. On the whole, they are still very enthusiastic about both technical and fundamental factors at the end of the year, not to mention seasonality, although this all seems like a big bubble, not a trade, so you need to be more selective in setting positions.
Today, considering the 4th chart, we see thatYesterday's drop below $ 16,000 after a failed breakout looks pretty insignificant this morning, despite re-rising to 17,000. Now the new SCMR signals show that growth can continue after recovery, which created a new dynamic support of about 16,000, the still bullish EMA was tested and held on yesterday's weak market, the longer-term SMAs continue to go up, and the Ichimoku cloud remains bullish. Of course, there still remains an adjustment of the Fibonacci resistance, especially in the region of 17,500, but in the near future there is a rather weak resistance to the area of 17,300, where the price is expected to be if the level of $ 17,270 is passed.
Regarding dynamics and volume, Willy and Stochasticare still in the overbought zone after a good reload last weekend, and the MACD is approaching its zero line, however, the RSI has room to move up, and the PPO does not yet show strong sales signals. In addition, volume indicators remain generally encouraging, although the A / D line has slowed down a bit and exchange volumes continue to slow (at the moment). While the market could use reloads to really accelerate this rally, given the recent price movement, we think that the bulls still have the strength to raise the price to a new level.
We will return to the daily chart for the medium termforecast, and we see that yesterday's rollback looks barely noticeable, and actually actually created this current candle formation to make it more bullish today. Please note that SCMR is signaling growth, while new dynamic support is starting to build around 16,000, in addition to several support levels below, all moving averages are still stacking up to support the uptrend, while the Ichimoku cloud remains bullish. While the price will continue to face resistance on the way up due to Fibonacci expansion areas, we believe that there are still too many bullish indicators on the chart to make the direction bearish. All these areas will temporarily slow down the purchase, which is actually good for the market.
Moving on to medium-term dynamics and volume,it is not surprising that all oscillators returned to officially overbought territory, given how strong the price movement has been recently, but we are still skeptical that this is a sign of MACD fatigue (implying that it is indeed a sign of strength). In addition, the A / D line continues to confirm that all the dips are being bought up, telling us that the market is positive. Although we expect prices to adjust during this week, we also expect pauses and fluctuations around key Fibonacci levels, rather than a sharp rise to 20,000.
As market participants begin to get used tothe idea of futures trading along with spots and waiting for another addition of trades from CME on Sunday evening / Monday, the market seems to rationally digest what is thrown into it and we consider this very encouraging. This tells us that Bitcoin is ready for the next stage of its financial evolution, and even some may wonder how well and stable it behaves. It is worth saying that we enter the second half of the week observing a fairly balanced picture of growth. However, given how well the market has performed over the past few days, we think that price reductions and corrections are possible for further recharging.