Bitcoin price resumed its upward movement today as it rose from around $232 to over $247 at the time of the writing of this article. The buying volume of today’s market seems to be pushing the price towards the $256 resistance line.
By studying the 4 hour Bitfinex BTC/USD charts from tradingview.com (look at the below chart), we can see that the trading day started by forming four bullish (green) candles which points to today’s market buying power, so we are likely to see the price increasing even more later today. By plotting the “William’s Alligator” indicator on the same charts as we did on our analysis on the 22nd of January, we can still see that the market conditions are favorable of a continuation of the bullish wave, with the blue line at the bottom, the red line in the middle and the green line on top of both.
By analyzing the 1 day Bitfinex BTC/USD charts from tradingview.com, we can see how the price is continuing to reach higher highs every day. By plotting the On-balance volume (OBV) indicator on the same charts, we can easily spot an upwards sloping OBV curve (look at the below chart), which means that the buying volume of the market is steadily strengthening to support continuation of the bullish wave.
We are likely to see the price reaching $256 soon, yet further analysis is mandatory to determine whether or not the current bullish trend will continue to push the price well above $256.
Charts from Bitfinex