Over the past week, after a brutal 10% sell-off, sparked as a result of that Bitfinex and Tether (USDT) may be in precarious financial standing. As of the time of writing this, is currently at $5,900 on major spot markets, up from the $5,375 seen just seven days ago, a gain of just shy of 10%.
Interestingly, a good portion of these gains has come within the past 48 hours. The recent surge hasn’t been decidedly pinned to a fundamental or technical factor, but it is believed that the that by the U.S. CFTC boosted ETH, and thus the rest of the market.
The initial surge has died down, but a number of analysts are convinced that a further move higher is inbound. Crypto Thies, a popular trend trader, recently took to to explain his thoughts on the matter.
Thies explains that there are four factors on ’s short-term chart that are currently signaling that could continue higher.
Firstly, there has been a “slight bullish expansion” on the one-day, which suggests an increase in volatility, marked by surging activity, and a potential for the to see “continuation to the upside”.
Next, Thies’ proprietary trend indicator, dubbed “Market God”, has issued a “buy signal” on the three-day chart, which last occurred when was at $4,000 in late-March, prior to April’s monumental month.
Thirdly, has broken above its Keltner channels and logarithmic Bollinger Bands, which define approximate ranges for an asset, hinting that the is clearly in a bullish uptrend.
And lastly, the three-day Relative Strength Index (RSI) has broken out of 2018’s range, which, according to Thies, is a sign that bears have lost control of the wheel. What’s more, the current RSI reading is “knocking on the Priceline door for Q4 2017.” For those unaware what the analyst is referring to, three-day RSI readings of above 80 have only been seen in bull markets. Case in point, when tried to break past $300 after a massive drawdown in 2014 and 2015, the reading failed to move past 80, and only did so months later.
All this is, in Thies’ opinion, that a move above $6,000 may be sustained. Just weeks ago, per previous reports from this outlet, the analyst that a move to $8,400 may be possible. Thies wrote that while he was confident that will eventually return to $4,700, he expected for a to head higher in the coming weeks. He looked to the fact that the Bollinger Bands (BB), a measure used to depict ranges, have begun to squeeze on the one-week chart, along with ’s two-week candle breaking above its middle BB could suggest a move to the high BB, currently sitting at $8,400, in the near future.
Crypto Market Cap Also In Uptrend
Not only in looking bullish. In another analysis, Thies suggests that the aggregate value of all remain in a major uptrend. Not only has there been a massive uptick in volume, but Market God has signaled a buy and the figure has broken above the upper Keltner channel band.
Title Image Courtesy of Aleksi Raisa
Published at Tue, 07 May 2019 21:04:42 +0000
