Quick BTC 4hr chart update

Quick BTC 4hr chart update

Bitcoin / U.S. dollar BITSTAMP:BTCUSD


BTC Update:

BTC is back above its Bollinger Bands Middle Band Basis 20 Period SMA for this 4hr timeframe. Note that BTC is above its Bollinger Bands Upper Band and we have expansion of the Upper and Lower Bands and this expansion is for positive momentum.

Note that BTC is still in the Bearish Zone of the Ichimoku Cloud on this 4hr timeframe.

BTC is also back above its Least Squares Moving Average ( LSMA ) for this 4hr timeframe. A candle close above this indicator is a potential buy signal for traders who use this indicator.

BTC is back above its Descending Pitchfork Median Line (Black A,B,C).

Note that we have a new C Pivot point for our Ascending Pitchfork Pattern (Red A,B,C).

BTC is back above its Volume Profile Fixed Range Point of Control for this charts fixed range of 15x 4hr candles that i have selected.

Note that BTC is still below its Volume Profile Visible Range Point of Control for this charts visible range.

Volume on this Bitstamp Chart is still relatively low and note that the last 6x 4hr Volume Bars have been below its Volume 20 Period Moving Average.

The Average Directional Index ( ADX DI) is indicating a sharp rise in Positive Momentum with the +DI (Green Line) rising to 24.02 and the -DI (Red Line) dropping to 15,72. Note that the ADX (Orange Line) is at 17.83 and has started to curve upwards indicating the Positive Trend Strength is increasing in Strength. The 9 Period EMA (Black Line) is at 19.04 so we may see the ADX (Orange Line) eventually cross back over and above its 9 Period EMA (Black Line). We also need the ADX (Orange Line) to cross back over the 20 Threshold (Horizontal Dashed Black line) on this 4hr timeframe.

The Moving Average Convergence Divergence ( MACD ) is also indicating a sharp rise in Positive Momentum with the MACD Line (Blue Line) back in the Positive Zone and above the 0,0 Base Line. Note that we also have increasing Green Histograms. Note that this is the first time since 15th Nov 2021 that the MACD Line (Blue Line) has been in the Positive Zone of the MACD indicator on this 4hr timeframe.

I have added 2 areas of interest using the Parallel Channel tool. BTC needs to stay above the Lower Parallel Channel around $55,610 – $55,100 and this is BTC’s potential bottom on this 4hr timeframe. BTC also needs to break back above and more importantly close back above the Upper Parallel Channel around $59,480 – $60,148. Closing above $60,148 takes BTC into the Equilibrium Zone of the Ichimoku Cloud , and also back above its Ascending Pitchfork Lower Green Resistance Line (Red A,B,C). It also takes BTC back above its Descending Pitchfork Upper Green Resistance Line (Black A,B,C) so this is an important area for BTC to close above.

Note that because BTC is above its Bollinger Bands Upper Band, a retrace back under the Upper Band shouldn’t come as a surprise to you. It should be an interesting weekend.

I hope this is helpful with your trading and Hodl-ing.

Notes:
Bollinger Bands = Grey Bands on Chart
LSMA = Black Squiggly Line on Chart
VPFR POC = Short Horizontal Red Line on Chart
VPVR POC = Long Horizontal Red Line on Chart
Important Resistance Zone = Upper Parallel Black Line with Yellow Shading on Chart
Important Support Zone = Lower Parallel Black Lines with Yellow Shading on Chart
Volume Moving Average = Orange Line going through Volume Bars on Chart
Descending Pitchfork Pattern = Black A,B,C on Chart
Ascending Pitchfork Pattern = Red A,B,C on Chart
Support and Resistance Lines – Horizontal Dashed Black Lines on Chart

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