Bitcoin still bullish but momentum is fading
Bitcoin continues its sideways consolidation below the massive resistance zone $470 - $500 and is currently dancing around its 50MA ($443).
Unfortunately an important trend-line has been broken last week. The Bollinger Bands are still moving sideways predicting that soon or later a big move will come. Basically everything is still bullish but I don't like the ongoing behavior. Investigating the past of Bitcoin I realized that the exponential moving average is more helpful for Bitcoin´s technical analysis. Therefore I am now using the pink EMA200 ($403). Should Bitcoin start to correct this line will become the logical first target. That would mean a 10% correction is possible. I am not willing to give back our hard earned profits. We can always buy back later. Therefore I recommend to move the stop to $435 (last week's low). This stop will move us to the sidelines as soon as Bitcoin should start to plunge. In that case we should buy back our Bitcoins below $405.
Unfortunately an important trend-line has been broken last week. The Bollinger Bands are still moving sideways predicting that soon or later a big move will come. Basically everything is still bullish but I don't like the ongoing behavior. Investigating the past of Bitcoin I realized that the exponential moving average is more helpful for Bitcoin´s technical analysis. Therefore I am now using the pink EMA200 ($403). Should Bitcoin start to correct this line will become the logical first target. That would mean a 10% correction is possible. I am not willing to give back our hard earned profits. We can always buy back later. Therefore I recommend to move the stop to $435 (last week's low). This stop will move us to the sidelines as soon as Bitcoin should start to plunge. In that case we should buy back our Bitcoins below $405.
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