We’ve crashed a few times along the way but bitcoin has gone lateral, building a big flag formation to get over $3,000. Could it then move along to $3,500? The booming altcoin market could also be helping bitcoin along, supplying extra volatility and support.
Also read: Litecoin Booms as Market Cap Tops $2 Billion for First Time
Bitcoin Price Technical Analysis
Long Term Analysis
Here’s what happened after we reached $3,000 — news, fundamental data, bank-block rumors and political factors became confused and anarchic. This increased volatility in a lateral sideways market, building a big flag formation with a high technical objective over $3,500.
Transferring to the up side — the main channel between $600 and $1,850 — we find the $3,000 resistance. Transferring again the same 1200 basic points and backed by the flag pattern, the next level could be evaluated beyond the middle of the way over $3,500.
Mid Term Analysis
Quotes are still bullish, and Relative Strength Index reflects the market is strong enough to consolidate the $3,000 level in the way to higher levels from now on. There are many intermediate bouncing levels at $2,450, $2,000 and $1,650 to the down side to take into consideration.
Then there’s $3,150, $3,500 and $4,950 to the up side with a lot of multimedia data — which we can only analyze as another bullish factor. While other cryptocurrencies develop in the background, offering alternatives in Bitcoin’s economic segment, they supply extra volatility and strength to the main leader to keep on rising.
Short Term Analysis
According to Japanese Candlestick Analysis, the quotes would surpass $3,000 — backed by the momentum indicator and moving averages. Based in a fluid volume, prices should keep on rising with a first support estimated at $2,450 and the second at $2,000.
The trigger to the up side could be considered at $3,150. Indicators are flipping up again, following the last May pattern that resulted in a rise.
What do you think will happen to the bitcoin price? Share your predictions in the comments below.
Images via Bitstamp
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