Bitcoin showing strength for the first time since July!?

Bitcoin showing strength for the first time since July!?

Hello everyone!
Another daily analysis for bitcoin [BTC]!

So, recently I have turned very bull for numerous reasons as I believe bitcoin is going to move UP!

1) Hourly RSI recently dipped into oversold for the 3rd time in recent days. Each successive dip into oversold has been significantly higher than the last.

2) 6h RSI recently dipped past the RSI support of our lowest low in price, thus establishing hidden bullish divergence .

3) 5d MACD has crossed bullish for the first time since July.

4) Volume has been declining since we hit our local top, however this particular area seems to be of interest as volumes have been growing. Buy side seems to be getting stronger the further down we test.

5) The 3d which just closed shows strong bullish divergence in the RSI , along with a bearish doji . This doji comes off of the back of a strong bearish candle, which indicates seller momentum may be temporarily exhausted. Combined with the fact that the hourly RSI is creating significantly higher lows, this signals a possible rally!

6) The .618 has now been tested 3 times, with each test producing a bullish rejection. Very long wicks are forming in this area from bearish hammers, another indicator that buyers are present.

6) We still have yet to test the .786, let alone our current bottom. Truth be told, I thought we would of by now especially after the fall from $4k. Psychology tells me that if they haven’t dropped us on our face by now to test our recent low, we may not any time soon.

Published at Wed, 16 Jan 2019 01:11:55 +0000