... and all-time high level.
The price of bitcoin is currently up around $2400 to $23,624. That is just short of the high for the day at $23,776.94. Just yesterday the price moved above its all-time high at $19,911. Since than the digital currency has added another $3700 or over 18%. Since November 11 just 6 days ago, the price has moved up around 35%.
Any clues technically other than just buy new highs?
- When a high is made and you have a corrective move like we saw from the high today, the all time becomes resistance at $23,776.94 just by default. Get above is more bullish. Stay below and the market may consolidate.
Another clue (or clues) comes only 5 minutes chart.
Looking at the 5 minutes chart below, even in the volatility of the bitcoin market, there are still 2 levels of interest which seemed to have attracted the buyers from a technical perspective.
- The 1st technical level is the upward sloping trendline connecting an earlier low today with the corrective low. The last tip did find buyers near that trend line level. Currently the trendline cuts across at $22992. Move below would be more bearish. Note that trendline is moving higher as time goes by...
- the 2nd technical level is the rising 100 bar moving average (blue line in the chart below). That moving average is currently at the same level of the trend line at 22992.
For traders, the brave, overbought sellers might look to lean against the high price with a stop above.
The longs who are anxious to take profit, or sellers who want more downside confirmation, might look for a break of the trendline and the 100 bar MA as the level that would tilt the bias more to the downside.
Looking at it another way, given the bullish sentiment, buyers on dips may also continue to buy against the 100 bar moving average/trend line combination with stops on a break below.
Those are the technical levels I see even in the face of runaway markets. They also seem to be levels that other risk focused traders are following.
