Bitcoin is trading slightly above the price mark of $7300 in the cryptomarket. Within no time it dips from a price level of $8300 to $7300, breaking the support level at $7600. It was even priced as low as $6600 with the daybreak of 17th May, though currently it is seen gaining momentum from the crash of $6600 to above $7300.
However, the significant analysis emphasis is that BTC price during the same time last week had the same price range as of now, but that was the price towards Bull Run. Today, Bitcoin seems to have a corresponding price range, but it is likely to be the range in the price pullback. This shows a mutually opposing position of Bitcoin price.
Technical Analysis of the contradictory prices in a week:
Bitcoin price at the start of the week as highlighted is seemed to have a Bull Run approach. It then moved in a stable direction without much volatility. The price surge upward has been swift in comparison to the further movements observed. However, the plunge is drift, and the price is seen swaying between the ranges $8300 – $7600 and $7300 – $6600 with the bulls and bears contradicting to decide a direction.
While the price was in the Bull Run range, MACD was in the positive field. The MACD line is then is observed to be above the 26 period EMA, which shows that the trends are changing. Since the MACD range is found above the signal line, we see a bullish trend.
But before the stable price period came, we see a shallow fall where in the MACD even pours below the signal line which showed an available short position for the investment. However, with the stability of the prices, MACD kept falling and raising that signaled the overbought or oversold actions due to the volatility of the price.
The above indicator describes the real-time rating for a week. The indicator falls from the “strong buy” region to “buy” region more inclined towards the neutral zone after the drift in the Bull Run.
In contrast to the previous weekend’s Bull Run, this weekend seems to have a drift plunging price range towards the bearish signal. Today morning when the price fell to a mark of $6600, MACD fell below the signal line showing a robust bearish zone. Currently, it is brawling with changing trends along the signal line.
The technical indicator, when summarized for a day, gives a “buy” signal because of the average price range that the security undergoes. But the same is not the case for a technical indicator when we consider a time frame of 15 minutes. It shows the bearish signal of “selling” the security due to the plunging prices.
The above charts and indicators emphasize on waiting until a clear picture of the following trend is known.