Bitcoin: Ascending Wedge Analysis 6H (Apr. 23)

X FORCE GLOBAL ANALYSIS:


Bitcoin has shown a very slow and steady rise for the past few days. In this analysis, we take a look at Bitcoin's bullish and bearish evidence to assess the situation through technical analysis.

Bullish Evidence

- Despite the slight downfall after having created a local top recently, Bitcoin is still creating higher lows and looks to create higher highs as well
- The ascending trend line support remains intact
- We have broken through and closed above the 0.618 Fibonacci resistance

Bearish Evidence

- We are trading within an ascending wedge pattern, which is typically considered bearish
- We have created a lower high
- The Relative Strength Index (RSI) is creating a descending channel with lower highs and lower lows
- The Moving Average Convergence Divergence (MACD) creates mixed signals and a lack of momentum

Market Sentiment:

Long short ratios are at 65 to 35, with significantly more longs than shorts.


What We Believe

We believe that a break through the descending trend line could start a bullish rally to the 1.618 Fibonacci resistance, especially given that we have started to create new higher lows and higher highs on the shorter time frames.

Trade Safe.