Bitcoin Finds Support From Cumulative Average

On Friday, January 12, Bitcoin (XBT/USD) found support at $12,854.57 from its cumulative average (blue) of closing prices. The cumulative average starts with the secondary low (L2) of $5,664.87 on November 13, 2017 (all prices from Optuma, as shown):

XBTUSD_Daily_Jan12_2018.png

(Note the preceding lower low on December 22 of $11,179.30 is also identified by the squaring of the all-time high (H) with the average.)

The low L1 of $2,979 on September 15, 2017 is used for the start of the lower cumulative average (black).

Since the current market is perfectly aligning with the average:

  • Bitcoin is expected to return to its overall uptrend and reach new highs.
  • If instead Bitcoin breaks down below the blue line, currently at $12,900, then it is expected to reach the lower cumulative average (black), currently at $9,260.

Disclosure: Pattern to Profit, LLC, any affiliates or employees or third party data provider, shall not have any liability for any loss sustained by anyone who has relied on the information ...

more
How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.