FX.co ★ #Bitcoin chart analysis

Hello traders! Daily chart of #Bitcoin. As I anticipated yesterday, the closing on Sunday (the last day of the week improving the weekly close) is forming a third consecutive "bullish engulfing" pattern between two historical levels - $99,600 and $105,050. If today's closing occurs around $105,000, it will be a strong signal for price recovery towards the important moving averages - the 200-period SMA and then the 100-period SMA, currently at $108,000 and $111,250 respectively. To change the established medium-term downtrend to an uptrend, the price needs to surpass and stay above both moving averages, meaning above $111,250. The components of the analysis on the chart mostly appear bearish. After today's upward close, only 2 out of 5 components will turn towards growth. Having only two out of five components align for price recovery might seem insufficient, but there are still chances for a rebound.

4-hour chart of #Bitcoin. The following technical facts support a potential price recovery. The price has formed two local lows at the historical level of $99,600, currently attempting to break out of the descending channel upwards and surpass the historical level of $105,050. At the end of the last closed timeframe, 3 fast analysis components indicated growth, while 2 slow components remained pointing downwards. The situation with the components is contradictory. In case of improved sentiment in the crypto market, the price has the potential to recover towards three nearest historical levels - $105,050, $110,250, and $116,000. For a short-term trend reversal upwards, the price should not drop below $110,000.