Digital Currency Revolution Series: Bitcoin Sets Strong Foundation For 2020 As Price Surpasses $10k And Heading For 5-Months Highs
Crypto Technicals: ETH/USD retraces brief dip below 200H MA, close above 5-DMA to see upside resumption
FxWirePro’s Long Hedges Arrest Bitcoin’s Volatility As Underlying Rebounds & Reclaims $9k
Bitcoin’s price (BTCUSD) has been continuing further its two day’s rallies (i.e. shy above 9%), while the overbought sentiment paused BTCUSD rallies above $9k levels. Despite vigorous price slumps from the last couple of days, the bitcoin price managed to bounce back and reclaim $9k upon hammer pattern at $8,427.26 levels (i.e. testing support at around 21-DMAs).
Technically, the range resistance has been broken out upon the bullish engulfing patterns, Consequently, bulls have taken-off well above 7, 21 & 100-DMAs with bullish crossovers (1st chart for daily plotting).
Shooting star followed by hanging man patterns plummet prices below EMAs, hammer and dragonfly doji counters with sharp rallies, the major trend jumps above 21-EMAs (refer 2nd chart for weekly plotting).
While both leading and lagging oscillators are in line with the prevailing uptrend but expect minor dips on the mild overbought sentiments.
Amid such a bullish travel, the pair has bounced from the lows of $6,430 to the recent peaks of $9,194.84 levels with rising volumes and open interest (OI) for CME bitcoin futures (refer 3rd chart).
As we could foresee further upside price risks, we have already advocated long hedges a fortnight ago so as to move in sync with the trend, now they must have not only arrested upside risks but also derived leveraged yields on trading grounds, we wish to uphold the same strategy on hedging grounds. Courtesy: JPM