Traders officially love to buy BTCCNY around 41282.84 level
Bitcoin/Chinese Yuan Index (BTCCNY) Technical Analysis Report for Aug 11, 2018 | by Techniquant Editorial Team
BTCCNY finished Saturday at 43800.00 gaining CN¥2197.76 (5.28%) on low volume. Trading CN¥112949.99 higher after the open, BTC/CNY was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (BTCCNY as at Aug 11, 2018):
Saturday's trading range was CN¥115517.15 (263.44%), that's far above last trading month's daily average range of CN¥28524.81. Weekly volatility is also higher, being above the markets average with the monthly volatility being slightly above average.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bearish Outside Bar.
After trading as low as 41282.84 during the day, the market bounced off the key support level at 42666.82. The failure to close below the support might increase that levels importance as support going forward. Unable to break through the key technical resistance level at 156788.96, BTC closed below it after spiking as high as 156799.99 during the day. The failure to close above the resistance could increase that levels importance as resistance going forward. Bitcoin was bought again around 41282.84 after having seen lows at 41602.24, 42518.76 and 41832.98 in the last three trading sessions. Obviously there is something going on at that level. After spiking up to 156799.99 during the day, the cryptocurrency found resistance at the 200-day moving average at 54054.20.
BTCCNY shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend being bullish.
With prices trading close to this year's low at 34311.49, downside momentum might accelerate should BTC/CNY break out to new lows for the year. Further selling could move prices lower should the market test July's nearby low at 34991.19.
With seven out of the seven Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are XRPUSD losing -8.28% and ETCUSD closing -7.72% lower. None of the markets managed to end the day in the green. Looking at the other Minor Cryptocurrencies, the winners of the day have been WAVESBTC surging 1.9% and ARDRBTC closing 0.6% higher. The worst performers of the day have been ELFBTC tanking -13.38% and IOTBTC closing -11.22% lower. Read more