The cryptocurrency has been on an uptrend for the last eight sessions; it managed to break through three resistance levels at our 38.2%, 50%, and 61.8% Fibonacci retracements. From a technical analysis point of view places the asset on a general uptrend.
The next resistance we find is at $52,956, the previous high in more than five months, the pair is very close to entering an overbought status, and that could retrace the price a little bit in the short term.
The Bollinger bands are wide, and we can expect high volatility; the price trades closer to the upper band, suggesting that it is relatively high, another reason why the price could retrace in the short term.
The price left the Ichimoku cloud, and there is still some more room on the Relative strength index before reaching the overbought status, current RSI is at 64%.
Our parabolic SAR indicator suggests that the price will continue its upward trend in the upcoming sessions, but we will have to wait and see if it can break the new resistance.
We love to hear new ideas from traders and want to know what you think!
If you like this topic and want to suggest future topics that you find helpful, let us know by clicking the ‘submit your feedback’ button below.
Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite.
Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit.