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DigiByte / Bitcoin
Short

DGB/BTC "Hidden" bearish divergence

By MrFusion
Updated
The 3-hour, 4-hour, and daily timeframes on DGB/BTC all show hidden bearish divergence on the CCI. A pullback below 400 satoshis toward the bottom of the pennant formation seems likely, if the support of the 200 moving average does not hold on the 4h timeframe.
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This chart shows the bearish hidden divergence with violet lines on the CCI and daily price action.

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The 3h timeframe also shows bearish moving average crosses of shorter term moving averages (100, 50, below the 200 moving average (shown in red).

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If you were to sell DGB here, I would look to buy back in a laddered fashion, between the 200 daily moving average, and the red upward sloping pennant support trendline. I would also have a stop buy order just above the top pennant resistance trendline, in case DGB breaks out.

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Note
When DGB does break out to the upside, I would expect it to eventually revisit the previous all time high.

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Multiple Time Frame AnalysisPennant
MrFusion

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