BTCUSD finds buyers again around 11533.93
Bitcoin/US Dollar Index (BTCUSD) Technical Analysis Report for Aug 09, 2020 | by Techniquant Editorial Team
BTCUSD finished Sunday at 11686.34 losing $84.43 (-0.72%) on low volume. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (BTCUSD as at Aug 09, 2020):
Sunday's trading range has been $269.00 (2.29%), that's below the last trading month's daily average range of $505.92. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for BTCUSD. Prices continued to consolidate within a tight trading range between 11350.42 and 11912.62 where it has been caught now for the last three trading days.
After moving higher in the previous session, the market closed lower but above the prior day's open today, forming a bearish Harami Candle. The last time this candlestick pattern showed up on July 7th, BTCUSD actually gained 1.96% on the following trading day. Additionally, one bullish candlestick pattern matches today's price action, the Bullish Hikkake Pattern.
Prices are trading close to the key technical support level at 11397.48 (S1). Prices are trading close to the key technical resistance level at 11912.62 (R1). After having been unable to move lower than 11534.87 in the previous session, Bitcoin found buyers again around the same price level today at 11533.93.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 11912.62 where further buy stops could get triggered. Selling might accelerate should prices move below the nearby swing low at 11350.42 where further sell stops could get activated.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Harami Candle" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for BTC/USD. Out of 138 times, BTCUSD closed higher 56.52% 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 55.07% with an average market move of 5.64%.
With six out of the other six Major Cryptocurrencies closing lower today, the ones that stand out on the negative side are XRPUSD losing -2.47% and LTCUSD closing -2.47% 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 ICXBTC surging 8.01% and WAVESBTC closing 7.75% higher. The worst performers of the day have been ZECUSD tanking -4.82% and ZECBTC closing -4.49% lower. Read more