A Bullish Bitcoin Rises Toward a New Top (BTC/USD & BTC/EUR Price Prediction for 04/29/19)

Price rose higher on Apr 3 and has continued increasing since. On Apr 24, monthly highs of $5690 and €5069 were reached.

Following these highs, the price took a sharp dive. Lows near $5000 and €4500 were experienced on Apr 25. Since then, Bitcoin has begun rising.

Will Bitcoin continue rising and make new highs before the month end?

Let’s find out:

Bitcoin (BTC): Trends and Highlights For April 29, 2019

• Both BTC/USD and BTC/EUR began a rapid upward move on Apr 2.
• Bitcoin has been trading inside an ascending channel since Apr 4.
• Bearish divergence is developing in the RSI and the MACD.
• There is resistance near $5650/€5000 and support near $5330/€4700.

A Look at the Current Trading Pattern

On Apr 2, the price made an hourly low of $4745.0. A gradual increase was followed by a gradual decrease. The price has made several higher lows during this period.

Tracing these lows gives us an ascending support line:

On Apr 3, Bitcoin made a high of $5335.50. Several market cycles have been completed. The price has made successively higher highs in the process.

Tracing these highs gives us an ascending resistance line. The resistance and support lines combine to create an ascending channel:

It is likely that the price will increase at the rate predicted by the channel until a decisive move occurs.

In order to predict the direction of the movement, a look at technical indicators is required.

Technical Indicators

To better assess future price fluctuations, we analyze the price of Bitcoin alongside the RSI and the MACD.

The moving average convergence divergence (MACD) is a trend indicator that shows the relationship between two moving averages (long and short-term) and the price. It is used to measure the strength of a move.

Combining RSI  bullish/bearish divergence with support/resistance essentially predicts price fluctuations. They are shown alongside Bitcoin’s current trading pattern below:

Similarly, the RSI and the MACD made the first high on Apr 3. However, they have proceeded to generate lower values. This is known as bearish divergence and often precedes price decreases.

Using these indicators, it is likely that the price will keep increasing at the rate predicted by the channel until a breakdown occurs.

Reversal Areas

To better determine reversal levels and support areas inside the confines of the channel, we incorporate support and resistance areas into the analysis.

Support and resistance areas are formed when the price reaches a certain level several times. They can act as a ceiling/floor that prevents the price from moving further in that direction.

One support and one resistance area is traced a support area for BTC/USD and BTC/EUR below:

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The closest support area is near $5330 and €4700. We believe the price will eventually reach this area.

The closest resistance area is near $5650 and €5000. We believe this is the ceiling of the price and it is unlikely that the price will break out above this area.

Conclusion and Summary

Bitcoin is currently trading within an upward facing channel. Its price will likely fall to the support area traced within the channel. It is also possible the price may push toward the resistance area. It appears possible that price may first drop toward support and rebound toward resistance.

Despite short-term losses, however, we believe we believe Bitcoin is likely to make long-term gains. To learn more, read out 2019, 2020, and 5-year price predictions by clicking on the green button below:

LONG-TERM PRICE PREDICTIONS!

Do you think BTC will keep trading inside the channel?  Let us know your thoughts in the comments below!

Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.