BTCUSD Technical Update

Strong 45% move higher from just below the daily 200 moving average also the 6000 support area. At the moment we still remain in a downward trend channel and we have started consolidating around 8200-8300 indicating a move lower and another test of 6000 can not be discounted. For the market to continue higher from here short term we need to break the previous high of 9418 and the highlighted trend channel. This would indicate a change in trend. Buying the pullbacks would be favourable with the next target being 11800.

Volume traded is much high than normal since 4th Feb 2018 which is a good indication we are forming a bottom here (Refer to previous post) but as mentioned above we still trade in a downward trend channel for now and below the 4 hourly 200 moving average considered bearish. I would remain cautious until the mentioned technical breaks occur.

Cryptoswan