Bitcoin Analysis 08/16/2018

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Bitcoin Analysis 08/16/2018

Posted on August 15th, 2018 in Technical Analysis by Ryan Warner

We take a look at BTC/USDT today. Who is making headway - the bulls or the bears?

Since February the bears have tested the $6000 support level of Bitcoin four times, and four times the bulls have rejected the push and came to buy. As such $6000 proves to be a very strong support line for Bitcoin.

Since Bitcoin's peak on December 17, 2017, it has developed into a large descending triangle with $6000 as the base. The bulls tested resistance levels on July 27 with a peak of $8483. With the Daily chart RSI climbing above 40 and the CCI leading Bitcoin up, it is likely that the bulls will attempt to break the resistance line at $7600. If the bears relent here then Bitcoin could push up to $8500 levels. 

Traders looking to make a play should enter with half the usual position with a stop loss of $5800. A 4-Hour candle close above $7600 will likely inspire bullishness and push Bitcoin to $8500.