Bitcoin Seeing Bull Momentum From Amazon Announcement
Bitcoin and other cryptos are seeing a nice rally this morning coming from the news that Amazon might start accepting BTC. This is all rumor for now. Here's the 4-hr chart.
There's a potential head and shoulders pattern forming on the longer scale. I wouldn't act on this in any capacity yet. BTC is also approaching the tested downtrend resistance line which has been tested five times and held.
Bull volume is falling, and on the shorter scale charts, bear volume is dominating the incoming bull volume even though bulls have held prices. This is mostly due to the lack of support on the way down from the last pullback which hasn't created any resistance for the way up, allowing bulls to move price up without much effort and volume.
Several resistance levels (including the trend line) are approaching, and with a complete lack of bull volume, it's likely to think we'll get held up in consolidation here or possibly a pullback.
Longer term charts are showing a change in momentum as bulls start to take the technical edge.
The daily candlestick should be an indication of how momentum will play out. If we see a long upper wick of profit taking then I'd expect a continuation of a down trend. If bulls can hold and we see a nice green candle today, there's a much higher chance of a trend change and a continuation of bull momentum.
Be cautious and good luck!
It was just a speculation, but yes it could be the reason for the price raise today. Amazing how one tweet can change so much.
Litecoin is really the epitome of this example
Thanks! Followed :)
Also resteemed this. Thumbs up.
You see it more and more even a few celeb tweets can swing the market. Still doesn't stand up to the bigger players whales/china messing around, but it's very cool that we are seeing more exposure for crypto.
There could be more downside. This could just be a bounce up. I see not only the trendline but also resistance at the 30 SMA on the 4 hour chart. On the daily chart, little to lead me to a bullish conclusion based upon recent activity.
The overall trend is still downward from the high the first part of September. There is nothing on the daily that say the trend even approached being broken.
Yep, I'm with you. I think the head and shoulders is likely and it will bounce off the down trend resistance like like it's done 5 times already.
Amazon accepting cryto would be huge. They control a large portion of online sales and would help to mainstream crypto a ton, even just people going to checkout and seeing a bitcoin pay option is a huge level of exposure. I don't predict it will happen soon because the CEO has spoken out against them accepting crytpo in the past but fingers crossed hes changed his mind!
Nah, I don't see it soon at all. There's really no benefit for them.