ICXBTC pushes through key technical resistance level
ICON/Bitcoin Index (ICXBTC) Technical Analysis Report for Nov 21, 2020 | by Techniquant Editorial Team
ICXBTC finished Saturday at 0.0000217 surging BTC0.0000023 (11.86%) on high volume. This is the biggest single-day gain in over two weeks. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 0.0000202, ICX/BTC confirmed its breakout through the previous session high after trading up to BTC0.0000015 above it intraday.
Daily Candlestick Chart (ICXBTC as at Nov 21, 2020):
Saturday's trading range has been BTC0.0000024 (12.37%), that's far above the last trading month's daily average range of BTC0.0000015. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ICXBTC.
Despite a weak opening Icon managed to close above the prior day's open and close, forming a bullish Engulfing Candle. Additionally, two candlestick patterns are matching today's price action, the Bullish Closing Marubozu and the White Candle which are both known as bullish patterns.
Buyers managed to take out the key technical resistance level at 0.0000201 (now S1), which is likely to act as support going forward. The last time this happened on October 1st, ICXBTC actually lost -10.34% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the 11 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Strong Up Move" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for ICX/BTC. Out of 92 times, ICXBTC closed lower 66.30% of the time on the next trading day after the market condition occurred.