Bitcoin Analysis for 2020-03-20 [Premium Analysis]

Bitcoin (BTC) Price Highlights

• The Bitcoin price has broken out above its previous trading range.
• It has reached the 0.618 Fib level of the previous decrease.
• The price is trading inside an ascending channel.
• The price has increased above its 200-week moving average (MA).

Range Breakout

The BTC price had been trading in a range between $4,400-$5,600 since March 13. On March 19, the BTC price began an upward move and broke out above this trading range. The price reached a high of $6,770 before decreasing slightly and creating an upper-wick. The high perfectly coincided with the 0.618 fib level of the entire previous decrease, making it a likely reversal level. Since the movement began, the price is seemingly trading inside an ascending channel. It is currently trading right at the resistance line of this channel. There is some slight bearish divergence developing in the RSI, and depending on the hourly close of the current candlestick, it could create a double-top at the resistance area of the channel. Therefore, the expected move from here is a decrease toward the support line.

Long-Term Movement

The weekly chart shows that the price has moved above its 200-week moving average (MA). In addition, it is trading inside a strong weekly time-frame range between $6,100-$6,700. While a breakout above this range seems unlikely, it is possible that the price continues trading inside this range, which would also align with the decrease towards the support line of the channel. To conclude, the BTC price has broken out above the previous range of $4,400-$5,600. The price is following an ascending triangle and trading inside a longer-term range of $6,100-$6,700. For those interested in BeInCrypto’s previous Bitcoin analysis, click here.