Bitcoin Bullish Bias Striked Back Bouncing from $8200 area with a daily close. The price managed to sustain the Bullish Trend and may reach $9000 or higher in the coming days. Let’s Check Bitcoin Technical Analysis for more levels and insights.
January 27, 2020 | AtoZMarkets.com – Bitcoin managed to gain impusive Bullish momentum upon bouncing off the Channel Support at $8200 area. After the price rejected off $9000 area, it pushed lower quite impulsively. As a result, it lead the price into mid-term Bearish trend which can be taken as Retracement along the way.
Bitcoin increased by 5% recently which is indeed quite significant for the Bulls to continue pushing higher. Since late December 2019, Bitcoin managed to push 43% already and further upside pressure can lead the price to retest the peaks along the way.
Bitcoin currently residing above $8600 is an indication of strong Bullish momentum along with the required market flow. As per current price action, a strong move above $8700 may lead the price straight towards $9000 area soon. A break above $9000 will also establish strong Bullish bias in the market.
Bitcoin Bullish Bias strong above $8500
The price regained its Bullish Bias after Bitcoin managed to broke above $8500 area with an impulsive bullish close. It not only broke above the horizontal price level but also broke above the Kumo Cloud resistance. The recent impulsive Bullish wave already managed to engulf the previous Bearish bias. As a result a break above $8700 can lead to continuation of the Bullish pressure in the coming days.
image: Bitcoin 1 Hour Chart
According to Bitcoin 1 Hour Chart, the Bitcoin bouncing off the Channel support with an impulsive Bullish Engulfing clearly defines the aims of the Bulls. The Chikou Span also managed to break above the price line as well. Moreover, the dynamic levels like 20 EMA, Tenkan and Kijun line is residing below the price line while holding the price as support along the way.
Currently the overall bias turned impulsively Bullish and may continue further upwards. The MACD lines are currently intersecting each other above 0.00 line which is indicating Bearish pressure may intervene. As per preceding trend, there are higher chances for Bitcoin to continue pushing higher but aving MACD with Bearish Cross may lead to certain corrections along the way.
Bitcoin Bounce off may continue Higher
According Daily Chart, the price managed to bounce off the Channel Support along with confluence from the dynamic levels. After the price broke above the Channel resistance, the dynamic level 20 EMA carried the price as support as well. Moreover, the bounce was also confluenced by Kumo Cloud and Tenkan Line along the way.
Despite having contrary signal from MACD, the price may push higher towards $9000 area. So, until the price retests $9000 to $9500 area as resistance, there are higher chance for the Bulls to continue pushing up higher.
To Conclude, Bitcoin residing above $8500 has already energized the Bulls to push higher after the bounce. As the price remains above $8000 area, the Bullish bias may continue with target towards $9000 to $9500 area in the coming days.