It’s no secret that the Bitcoin has found itself stuck between $410 and $420 for quite some time now, seemingly incapable of breaking any of the two thresholds. In the past few weeks the cryptocurrency has been dancing back and forth for several points, failing to go over $420 and stay there for a longer period of time.
So, when we left the currency last week, it was settled at $415 and the indicators were sending a strong sell signal. However, the Bitcoin surprised us and instead of declining went up for three points and stayed there over the weekend. Therefore, what interests traders at this point is whether the cryptocurrency has the power to increase some more or will it fall at $415 again.
How will the currency behave in the days to come depends largely on the events related to it. For example, only several days ago BBC warned over a nasty ransomware strain; the ransom in the scenarios was supposed to be paid in Bitcoin, a fact that definitely doesn’t help the digital currency to grow or become more popular among users. Additionally, global media are still paying more attention to Bitcoin’s main rival – Ethereum – and Forbes in its latest post focuses how the latest cryptocurrency may be the death of lawyers. With such a negative atmosphere for the Bitcoin, it’s highly unlikely to see it jump rather than decline.
Day’s Low Above $415; Volume Dropped
What can be easily seen is the fact that the Bitcoin price has grown and in the past 24 hours its overall change has been 0.34%. When we were writing last Friday’s post, the currency was trading for $415.26 and today its value is set at $419.34. We would like to highlight that both the 24-hour low and high have been recorded during this day; more precisely, the current trading price is the day’s high as well since the previous high noted several hours ago was lower $418.81. The lowest value of the Bitcoin seen this Monday was $416.61.
The market cap hasn’t changed too much; from $6.40 billion it went up to $6.49 billion. However, a segment that noted a drastic fall is the volume. As you know, when there’s a drastic change in volume (especially when it grows) traders should expect a price movement.
One More Time Indicators’ Signal is Pretty Neutral
With the volume down and the indicators pretty neutral, we can’t hope to see the Bitcoin grow any further. More likely, the currency will remain at the current mark or fall a bit. Whatever the case, let’s see what the technical indicators are signalling.
There are five indicators (RSI, ADX, CCI and two more) that are neutral; the Williams %R (-19.527) even shows that the Bitcoin has entered the overbought territory. Four are pro-sell and only two are pro-buy. This can be considered a negative scenario that predicts price decline.
On the other hand, we have the moving averages and all 12 of them are sending a strong buy signal. Nevertheless, traders should keep in mind that their values are mostly around $415 and $416, meaning the situation could easily shift from pro-buy into pro-sell.