QTUMBTC closes lower for the 4th day in a row
QTUM/Bitcoin Index (QTUMBTC) Technical Analysis Report for Oct 26, 2020 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, QTUMBTC ended Monday at 0.000166 losing BTC0.000005 (-2.92%). Today's close at 0.000166 marks the lowest recorded closing price since May 21st. The bears were in full control today, moving the market lower throughout the whole session. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (QTUMBTC as at Oct 26, 2020):
Monday's trading range has been BTC0.000007 (4.09%), that's slightly above the last trading month's daily average range of BTC0.000007. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for QTUMBTC.
Two candlestick patterns are matching today's price action, the Bearish Closing Marubozu and the Black Candle which are both known as bearish patterns. The last time a Bearish Closing Marubozu showed up on October 14th, QTUMBTC lost -1.52% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
With prices trading close to this year's low at 0.000153, downside momentum might speed up should the cryptocurrency break out to new lows for the year.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "4 Consecutive Lower Closes" stand out. Its common bearish interpretation has been confirmed for QTUM/BTC. Out of 47 times, QTUMBTC closed lower 65.96% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 59.57% with an average market move of -3.31%.