BTCJPY breaks back above 20-day moving average
Bitcoin/Japanese Yen Index (BTCJPY) Technical Analysis Report for Jul 10, 2020 | by Techniquant Editorial Team
BTCJPY finished the week 1.51% higher at 993932.28 after gaining ¥2570.91 (0.26%) today. Trading up to ¥14120.91 lower after the open, Bitcoin managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (BTCJPY as at Jul 10, 2020):
Friday's trading range has been ¥19507.89 (1.97%), that's below the last trading month's daily average range of ¥24968.71. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for BTCJPY.
After moving lower in the previous session, the market managed to close higher but below the prior day's open, forming a bullish Harami Candle. Additionally, two candlestick patterns are matching today's price action, the Bullish Spinning Top and the Takuri Line which are both known as bullish patterns. The last time a Bullish Spinning Top showed up on June 10th, BTCJPY actually lost -6.22% on the following trading day.
BTC/JPY managed to close back above the 20-day moving average at 993006.09.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 1017912.84 where further buy stops could get activated. Further selling might move prices lower should the market test June's nearby low at 954072.06.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Spinning Top" stand out. Its common bullish interpretation has been confirmed for BTC/JPY. Out of 261 times, BTCJPY closed higher 55.94% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 61.30% with an average market move of 4.75%.
With five out of the seven Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are ETCUSD losing -4.06% and XRPUSD closing -1.83% lower. On the flipside the best performers have been BTCUSD closing 0.54% higher and BCHUSD gaining 0.06%. Looking at the other Minor Cryptocurrencies, the winners of the day have been BCNUSD surging 26.82% and STRATUSD closing 8.47% higher. The worst performers of the day have been DOGEUSD tanking -18.44% and VETBTC closing -6.09% lower. Read more