Bitcoin Is Heading UPWARDS As Euphoria Overtakes the Market

Hi, everybody!

This is a brief update to our last trade signal published on June 10 (and updated on June 13).

The signal has been highly accurate both in terms of trend direction and the timing of market entry. As shown in those ideas, I’ve recommended buying at $7,900 on June 10. By now, that recommendation generated +18% in unrealized profits (without leverage). For margin traders, this is equivalent to +$14,000 or +180% per 1 Bitcoin with 10x leverage in 6 days! So, I hope you’ve been able to make substantial profits based on that signal! If yes, feel free to support my analytical efforts by hitting the ‘LIKE’ - that will be the best feedback from you!

Let’s now make a brief update on trend analysis, pattern analysis, and oscillator analysis to provide a sense of the general trend in the Bitcoin market. Today, we can surely confirm that, based on technical analysis tools and the analysis of chart patterns, the trend signal remains upwards.

We might see a mild correction downwards within the next few days, although I don’t think that that is a highly probable scenario at this point. The uptrend has gained strong momentum, and an ascending impulse wave that began on June 10 is not completed yet. Technically, there is no reason for the price to retrace downwards at this point.

The price has moved above the previous local high at $9,000, which sends a clear signal that the market intends to move further upwards. I recommend continuing to hold long positions until the price reaches the target at $10,000 - the nearest significant resistance level - at which the bulls should start taking profits, and the market should adjust.

However, when the $10,000 target is reached, we might see the next strong wave upwards without the market tracing out a series of corrective waves downwards. Meaning, it is highly probable that the euphoria may overtake the market, and the short-term trend may become over-extended, causing the price to grow to the unchartered territory above $12,000 in the near-term.

The power of the current uptrend, as measured by the strong momentum, implies that it will be difficult for the sellers to reverse the market over the short term. In particular, Moving Average Convergence Divergence ( MACD ) - a trend-following momentum indicator - confirms an increased power of the bulls in the Bitcoin market.

Thus, the best trading strategy for Bitcoin traders currently is to continue holding long positions while gradually moving stop-loss orders higher, below the previous local lows. This will potentially allow you to earn abnormal returns should the Bitcoin surge above $12,000 anytime soon, while keeping your capital safe!

The following trade signal is active currently:

• Continue holding a long position in Bitcoin
• Stop-Loss: $7,400
• Take-Profit: $10,000

If you agree - ‘Like’ and post your comments!

Disclaimer
This report is for information purposes only and should not be considered a solicitation to buy or sell any cryptocurrency or cryptocurrency product. Monfex accepts no responsibility for any consequences resulting from the use of this material. Any person acting on this trade idea does so entirely at their own risk.

Originally published at TradingView on June 18, 2019.

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