BTCUSD closes lower for the 4th day in a row
Bitcoin/US Dollar Index (BTCUSD) Technical Analysis Report for Nov 08, 2019 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, BTCUSD ended the week -4.4% lower at 8825.31 after losing $410.06 (-4.44%) today. Closing below Thursday's low at 9114.14, BTC/USD confirmed its breakout through the prior session low after trading up to $431.40 below it intraday.
Daily Candlestick Chart (BTCUSD as at Nov 08, 2019):
Friday's trading range has been $581.09 (6.31%), that's slightly above the last trading month's daily average range of $499.44. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for BTCUSD.
One bearish candlestick pattern matches today's price action, the Black Candle.
Prices are trading close to the key technical support level at 8537.60 (S1). The market closed back below the 200-day moving average at 9194.57 for the first time since October 25th. When this moving average was crossed below the last time on September 26th, BTCUSD actually gained 0.93% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "4 Consecutive Lower Closes" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for BTC/USD. Out of 79 times, BTCUSD closed higher 60.76% 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 seven trading days, showing a win rate of 54.43% with an average market move of 0.51%.
With six out of the other six Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are XRPUSD losing -4.85% and BCHUSD closing -4.81% lower. None of the markets managed to end the day in the green. Looking at the Minor Cryptocurrencies, the winners of the day have been KMDBTC surging 6.18% and STEEMBTC closing 5.16% higher. The worst performers of the day have been ZECUSD tanking -5.85% and XEMUSD closing -5.74% lower. Read more