Bitcoin continues to respect the neckline resistance as markets brace up for the showdown between the Greek government and its creditors this weekend. Overcoming the supply pressure near the resistance line has certainly proved to be a hard task for the bitcoin bulls, but I am expecting a big move to rock the market by the end of this week.
Bitcoin can be seen trading up 0.64% at $269.41.
Technically, things look poised in favor of the bulls which may eventually help them take out the resistance and may be, the price even heads towards $300 then. Check out the technical considerations from the 240-minue BTC-USD price chart below.
Bitcoin Chart Structure – Even though the bulls have been overwhelmed by the selling pressure near $272, it hasn’t caused a breakdown yet. Instead, bulls are keeping the price afloat at the higher band and registering higher lows.
Moving Average Convergence Divergence – The MACD remains depressed relative to the Signal Line, as a result of which Histogram is still languishing in the negative territory. The current values of MACD, Signal Line and Histogram are 1.3839, 1.7298 and -0.3459 respectively.
Momentum – The latest Momentum reading of 0.5100 is insignificant to derive any strong conclusions from.
Relative Strength Index – The market is still deciding which way to go, however, there is another indication that it may choose to head higher. The latest RSI value is 54.4506.
Money Flow Index – A very interesting observation is that the MFI has registered a decisive jump in the value since yesterday; from near 27 to 60 while the price remains flat (check out the chart above).
None of the above presented technical indicators recommend a sell while the Money Flow and the RSI point towards a bullish price action. However, market participants must closely follow the Greece crisis, which is rumored to be behind Bitcoin’s price rise.