After setting another 2019 record, the bulls are clearing their path to $20,000. Here’s our analysis of what happened this week.
Following a very successful week for the bulls, this week was an even more successful run.
Bitcoin said goodbye to a very stable area of $8,000 as the bulls kept pushing the coin forward.
Needless to say, the excitement about new victories continues as Bitcoin reached yet another 2019 high for the second week in a row.
So far, this drastic move is already familiar to everyone who keeps track of Bitcoin at least for two years.
If you happen to scroll back to the bull-run in 2017, you will find that the route looks almost exact.
It is how a parabolic move looks like. Such upside momentum of Bitcoin forces the coin to trade on higher levels, and if the uptrend continues, the first digital asset can even trade in areas it has not visited in a long time.
Similar to last week, Bitcoin was very stable over the past seven days as it gradually climbed to higher areas.
As of now, multiple critical points have been avoided and the majority of technical indicators are positive.
Due to this, we are optimistic about the future growth of Bitcoin and the levels the bulls are seeking to take over.
This week, as an addition to last week, the bulls remained strong, and several bullish trend lines were formed along the way.
Just like we mentioned in our last analysis, the force of the bulls is incredible, and such moves only make us more certain that 2019 will be remembered as a bullish year.
Expectedly, the rise in the price of Bitcoin automatically suggests a rise of several other numbers in the analysis.
After having a dominance of 56.8% last week, this week the world’s most famous coin reached a dominance of 61.8%.
This allows Bitcoin to remain placed at the top. The market cap of Bitcoin also increased from a stunning $162.9 billion to $224.4 billion.
Lastly, the total market cap was no different. After last week’s $286.7 billion, the total market cap reached $362.9 billion this week.
Considering this, we can surely say that the numbers did more than just escalate—they skyrocketed.
After many failures and countless insecure weeks, it looks like the bulls are finally rising from the ashes to become unstoppable again.
Bitcoin Price: Weekly Chart
It only takes one glance at the price chart to be able to recognize the similarity between this week’s graph and the one from our last price analysis.
For two weeks in a row, the bulls are pushing Bitcoin to higher levels slowly but surely, ultimately establishing new yearly records.
Although this has been an overall amazing week for Bitcoin, it is important to make a note of the strength of the bears. For quite some period now, even though the bulls repeatedly defeat them, the bears do not seem to give up.
Due to this, it is normal for several bearish trend lines and triangles to be formed, and that is exactly what this week’s chart displays. However, the bulls are consistently
stronger than the bears, and despite all their efforts to bring Bitcoin down, the coin keeps breaking above lines.
All of our weekly price analysis regularly start from Wednesday, which means that the last analysis started from June 19, 2019.
Back then, the price of Bitcoin was just above $9,000. Uncertain whether the uptrend would continue and whether $10,000 would be the next target, we kept monitoring the growth of Bitcoin.
During the same day, there were insignificant fluctuations in Bitcoin’s price. At some point, it could be found at $9,098, which marks the lowest price in this week’s analysis.
However, by the end of Wednesday, the price of Bitcoin continued to rise. On June 20, Bitcoin’s price already crossed over in the $9,200 area, where an important resistance stood last week.
From there to the beginning of the weekend, the bulls just kept pushing Bitcoin further.
Unlike the majority of weekends this year, we were excited about this one. If you’ve been keeping track of Bitcoin’s growth for quite some time, then you already know that the weekends used to be an incredibly beneficial time for the cryptocurrency market until things changed relatively recently.
With this change in investor behavior, the weekends became one of the most uncertain times for Bitcoin, which made us skeptical every time they were approaching.
However, as recent data has shown, the weekends are now better than ever—at least for the time being.
We can assume things are going back to normal. Because of this, we could not wait to see what this past weekend would bring.
Fortunately, our hopes were justified when the bulls crossed over in yet another high area.
On Saturday, June 22, the bulls pushed Bitcoin above the $10,000 line, and it only kept going up from there.
This made us optimistic that yet another milestone would be reached—and we were right.
During the same day, Bitcoin remained forceful and crossed over the $11,000 line as well, marking two victories in the course of one day.
Based on previous experience, such a sharp increase can be a signal for either one of two scenarios: a major drop or a continuous rise.
By the end of Saturday, although the $11,000 area was entered, Bitcoin once again settled below the significant line.
By this time, the $11,000 area became a major resistance level, while below, there was the $10,000 major support area.
For the most part, on Sunday, June 23, the price of Bitcoin fluctuated in a range between $10,400 and $10,900 until later that day, when the $11,000 line was crossed over again.
With the start of the new week, a fresh wave of hope took over.
Although the price of Bitcoin decreased on Monday, June 24 and could be found below the $11,000 line once again, we believed positively that the bulls were working on gaining their traction back.
On the same day, as Bitcoin crossed the line again, it kept rising.
This leads us to today, Wednesday, June 26, when the bulls proved us that they were indeed gaining traction.
Just at the moment when we were sad to see them struggling around the $11,000 line, they made an unexpected move.
Bitcoin surged and marked $12,780 as its fresh 2019 record.
Not only did the bulls leave the unstable $11,000, but they also forced the coin to jump over a brand new area of $12,000.
As we can see, Bitcoin’s price is still increasing as the bulls are clearing their road to $20,000.
Hopefully, such a number is not a plain assumption but will become a victorious momentum in the near term.
Bitcoin Price: Daily Chart
This week is definitely full of surprises.
Due to the several bearish lines formed on the weekly price chart, we expected the daily chart to show the same struggle between the bulls and the bears.
However, within smaller time frames, Bitcoin’s movement has not been so stable in a long time.
Similar to the weekly price chart, the one-day graph displays a gradually increasing line, and for the most part, much strength and balance.
On the daily chart, the relative strength index mimics an actual bull run.
After the fragile settlement in the 70 level, the daily RSI can be currently found near the 88-90 area.
Such a movement also holds the possibility for correction, and if the parabolic act remains, then it will be interesting to witness the RSI increasing even more.
During the bull-run in 2017, the relative strength index created a negative divergence that meant the $20,000 area was not supported by enough power.
This led to a downside pattern for the RSI, therefore the index was pointing down.
In the past week, the trading volume also shows an increase, as the volume of buyers is growing in a healthy bullish trend.
As of now, everything looks stable and calm, and the only thing we can do is hope for things to remain this way.
If the bulls want to climb to new levels and reach the $20,000 mark, they will have to fight the bears even harder.
Bitcoin Price: 4-Hour Chart
On the hourly chart of the BTC/USD pair, the bullish trend lines we have mentioned earlier can be spotted near the $12,000 and $11,450 area.
Currently, the pair remains very strong and is likely to keep climbing.
This week, the technical indicators continue to show improvement as well.
The hourly MACD is staying in the bullish zone for another week, where it is getting its strength back.
The hourly RSI significantly upgraded this week as well. For a while, the index was struggling around the 50 level until last week when it finally crossed above it.
This week, the hourly RSI had yet another victory when it could be found above the 70 level. Such an improvement means that the index for the BTC/USD pair is currently settled in the overbought zone.
On the downside, the nearest level of support would be $12,000, $11,800, $11,200, $11,000, $10,600 and further below the $10,000 mark.
On the upside, if Bitcoin’s price breaks the $13,000 resistance, the bulls are likely to strive for $15,000, $16,000, $16,650, $17,400, $18,000, $19,000 and $19,300.
At these levels, trouble is not expected because there is not much of a resistance. In case this does occur, the bulls would not have a hard time giving the coin a push to conquer the major $20,000 mark.
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