A Complete Guide to Bitcoin Technical Analysis
Latest posts by Dean (see all)
- What are security tokens and ‘STOs’? - April 20, 2019
- 3 Risks of Bitcoin and the Best Way to Avoid Them: Tips from the Experts - April 3, 2019
- Shrimpy review: automate your crypto trading the easy way with portfolio rebalancing - March 23, 2019
Latest Price News and Analysis
Dear Bitcoin Traders, Golden Cross is Not Always a Bullish Signal
by Davit Babayan on April 20, 2019 at 11:01 am
The entire bitcoin trading community is holding its breath for a crucial bullish signal known as the Golden Cross. It started on April 2 when the bitcoin price – at last – broke above a stringent resistance area and surged 23 percent in a day. This upside swing changed the market’s entire dynamics. Almost all... The post Dear Bitcoin Traders, Golden Cross is Not Always a Bullish Signal appeared first on NewsBTC. […]
Bitcoin Sparks Imminent Crypto Bull Stampede with 44% Gains in 2019
by Joseph Young on April 20, 2019 at 10:25 am
By CCN.com: Year-to-date, the bitcoin price has increased by 44 percent against the U.S. dollar from $3,700 to $5,320, becoming one of the best-performing assets in the global market alongside oil. 2019 Returns…Bitcoin $BTC: +39%Oil $USO: +38%Nasdaq 100 $QQQ: +22%S&P 500 $SPY: +17%Small Caps $IWM: +17%MLPs $AMLP: +16%REITs $VNQ: +15%EM $EEM: +14%EAFE $EFA: +13%Commodities $DBC: +12%High Yield $HYG: +8%Investment Grade $LQD: +6%Bonds $AGG: +2%Gold $GLD: -1% — Charlie Bilello […]
Bitcoin Price Watch: BTC Primed For Lift-off To $5,500
by Aayush Jindal on April 20, 2019 at 4:08 am
Bitcoin price remained well supported above the $5,200 and $5,160 levels against the US Dollar. The price is slowly grinding higher and it may well climb above the $5,350 level. There is a major ascending channel in place with support at $5,210 on the hourly chart of the BTC/USD pair (data feed from Kraken). The... The post Bitcoin Price Watch: BTC Primed For Lift-off To $5,500 appeared first on NewsBTC. […]
Bitcoin’s Path to Retake $20,000 Could Be Slow and Painful: Analyst
by Harsh Chauhan on April 19, 2019 at 11:59 pm
By CCN: John McAfee continues to trumpet a bitcoin price that will hit $1 million by the end of the decade. He isn’t even afraid of betting his manhood on the same. Nonetheless, crypto bears keep coming back to spoil the party. One such doubter is UBS analyst Kevin Dennean. UBS Analyst: Bitcoin Price Faces a Long Road to Recovery According to Forbes, Dennean recently wrote: “We’re struck by how long it took other asset bubbles to recover their peak levels (as long as 22 years […]
Whales, Moon-sling Calls, But Will Bitcoin (BTC) Clear $5,500?
by Dalmas Ngetich on April 19, 2019 at 6:00 pm
Bitcoin prices up 4.6 percent in the last week Bullish projection cement our assertion of shifting sentiment from bearish to bullish At spot rates, the crypto market is far from the $880 billion valuation of late Dec 2017. Even so, as Bitcoin (BTC) prices recover, bottoming up and closing above $5,000, odds are the next... The post Whales, Moon-sling Calls, But Will Bitcoin (BTC) Clear $5,500? appeared first on NewsBTC. […]
Wietse’s Effort Would Pay Dividends and Drive Ripple (XRP) To New Highs
by Dalmas Ngetich on April 19, 2019 at 5:00 pm
Ripple (XRP) prices stabilize above 30 cents Adoption will propel XRP prices above the current range Wind is an advocate of Ripple, and his company is one of the many funded by Xpring. If there is adoption, XRP prices would likely edge higher as demand for the third most valuable coin spike. Ripple Price Analysis... The post Wietse’s Effort Would Pay Dividends and Drive Ripple (XRP) To New Highs appeared first on NewsBTC. […]
Key Bitcoin Indicators Rage Bullish as Crypto Gains $40 Billion in 1 Month
by Joseph Young on April 19, 2019 at 8:54 am
By CCN.com: Over the past 24 hours, the bitcoin price briefly surpassed the $5,300 mark in a short-term spike but retraced back to the $5,200 region. In the past 30 days, as the bitcoin price gained 31.3 percent against the U.S. dollar, the valuation of the crypto market increased by $40 billion. Strong performances of alternative cryptocurrencies such as Enjin Coin and Binance Coin, which recorded 404 percent and 266 percent year-to-date gains respectively, pushed the momentum of the crypto […]
Bitcoin (BTC) Holding Crucial Support: Fresh Increase Likely
by Aayush Jindal on April 19, 2019 at 6:30 am
Bitcoin price climbed further above $5,300 before topping near the $5,330 level against the US Dollar. The price corrected lower below $5,300 and $5,255 support levels. There was a break below yesterday’s discussed ascending channel with support at $5,250 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair is still... The post Bitcoin (BTC) Holding Crucial Support: Fresh Increase Likely appeared first on NewsBTC. […]
Crypto Market Near Turning Point: BNB Up 10%, Bitcoin Cash, EOS, Tron...
by Aayush Jindal on April 19, 2019 at 6:00 am
The total crypto market cap corrected lower and tested a major bullish trend line at $168.0B. EOS price failed to stay above the $5.50 level and corrected towards the $5.40 support. Binance Coin (BNB) rallied around 10% and broke the $21.00 resistance area. Bitcoin cash price is down more than 4% and declined below the... The post Crypto Market Near Turning Point: BNB Up 10%, Bitcoin Cash, EOS, Tron Analysis appeared first on NewsBTC. […]
Ethereum (ETH) trading cryptocurrency market update for Apr 18, 2019
on April 19, 2019 at 5:35 am
Bitcoin trading can be extremely profitable for professionals or beginners. The market is still new. Learn the best strategies with this article. […]
Ripple (XRP) Price Trading Near Make-or-Break Levels
by Aayush Jindal on April 19, 2019 at 5:00 am
Ripple price climbed sharply towards the $0.3500 resistance before sellers appeared against the US dollar. The price formed a high near $0.3489 and recently corrected lower sharply below $0.3400. There is a key bullish trend line formed with support at $0.3270 on the hourly chart of the XRP/USD pair (data source from Kraken). The pair... The post Ripple (XRP) Price Trading Near Make-or-Break Levels appeared first on NewsBTC. […]
Ethereum (ETH) Price Holding Uptrend Support And Could Bounce Back
by Aayush Jindal on April 19, 2019 at 4:08 am
ETH price traded further higher above the $175 resistance, but failed to hold gains against the US Dollar. The price corrected lower sharply and tested the key $169-170 support area. There is a crucial bullish trend line formed with support at $169 on the hourly chart of ETH/USD (data feed via Kraken). The pair is... The post Ethereum (ETH) Price Holding Uptrend Support And Could Bounce Back appeared first on NewsBTC. […]
Undervalued Bitcoin Will Be a ‘Multi-Trillion Dollar Asset Class,’...
by Gerelyn Terzo on April 19, 2019 at 2:01 am
By CCN: Bitcoin’s gains may not be parabolic, but the price is moving steadily higher. With BTC currently hovering at the $5,300 level, the mood around crypto has improved tremendously. Nonetheless, the bitcoin price continues to trade 75% below its peak. A new report by Adamant Capital suggests that the smart money represented by BTC whales is in an “accumulation” phase. This chapter reflects the “last phase of the bear market.” The firm, which runs a bitcoin […]
Bitcoin Price: Textbook Stock Trading Indicator Forecasts 31% Rally
by Yashu Gola on April 18, 2019 at 8:44 pm
By CCN: The bitcoin price could attempt a runup towards $6,800 in the near-term, according to one popular stock trading indicator. Bitcoin on the Verge of a Bump-And-Run Reversal? Dubbed a Bump-and-Run Reversal (BARR), the pattern includes three crucial phases before an asset undergoes a full-blown breakout session. $BTC. Literally a textbook BARR bottom. Hint: This means bears are fucked. pic.twitter.com/5ZUMGCXMIt — B.Biddles (@thalamu_) April 14, 2019 First, the “Lead-in” […]
$20k by 2041 False Even if Bitcoin (BTC) Is Maturing With Deep Liquidity
by Dalmas Ngetich on April 18, 2019 at 7:00 pm
Bitcoin (BTC) trend is bullish but below Apr-11 highs Analyst says Bitcoin (BTC) may take 22 years to re-test 2017 highs Accompanying firm upsides is shifting sentiment and recovering prices. At spot rates, Bitcoin (BTC) gains are low, but even so, it is volatile enough and attractive for risk-off traders. Our immediate targets remain at... The post $20k by 2041 False Even if Bitcoin (BTC) Is Maturing With Deep Liquidity appeared first on NewsBTC. […]
What is Technical Analysis?
Technical analysis (TA) is a methodology for forecasting future price movements by studying past market data for price and volume, and seeking patterns within that data.
A technical analyst will look for continuing patterns, or trends, which indicate the general direction of price movement. They will also look for repeating patterns, which are used to gauge whether a trend is likely to continue or reverse, and to indicate the point at which a reversal may take place. In addition to visually recognizable patterns, various mathematical models are used to indicate trend reversals or confirm continuing trends. These mathematical ‘indicators’ are often visually represented on charts using an ‘overlay’. Indicators can be used to select entry points for longer term positions determined via fundamental analysis, or for day trading strategies such as swing trading.
Many of these visual and mathematical patterns, which tend to repeat over and over again in various different financial markets, have been identified over the course of centuries. Analysts will seek to identify these patterns forming within current market data in order to find indicators for forecasting, and multiple indicators will usually be combined together to provide buy or sell signals of varying strengths.
A typical chart has been embedded at the top of this page which includes two common indicators – Bollinger bands and moving average lines – and one more interesting and unusual indicator: the phases of the moon. You can modify the chart to look for other indicators by clicking the button which looks like a bar chart with a zig-zag arrow above it.
Does it Work for Bitcoin & Altcoins?
The patterns studied by TA are generally caused by the actions of market participants themselves, rather than any changes to the underlying value of what is being traded (although of course the underlying value changes are ‘priced in’ by the market participants). They represent common psychological traits, the actions of people making decisions based on knowledge which comes into their possession, and so on. As such, these techniques can be applied to most financial markets.
It is generally thought, however, that these techniques do tend to break down in smaller markets with low volume and liquidity.
So it is probably safe to say that if technical analysis works at all, then it should work for Bitcoin. But is also true to say that it will be unreliable for smaller altcoin markets. This is not a hard rule, but a general guide. The most popular altcoins, or coins going through periods of high volume, may prove to be valid exceptions. It is down to the individual trader to make a judgement as to what extent these tools can be trusted for any specific market.
Top Resources for Bitcoin Technical Analysis by Experts
If you are new to this topic then perhaps the best thing that you can do is follow the analysis provided by established experts, both for making more educated investment decisions and for learning how to become a better analyst yourself. You can view some great articles published on news websites in the left hand column of this page, but for more detailed and timely information here are some of the best sources for professional analysts’ opinions on the Bitcoin price:
- XBT Social: For a monthly membership fee this site give you access to a daily analysis by professional traders, email alerts for sudden price movements, exclusive news stories, and access to an ‘exclusive community’ of other traders.
- BullBearAnalytics: A team of professional analysts provide paying members of this site with complete, actionable trade signals for both BTC and altcoins, a daily market update, and a more in-depth weekly report.
- BraveNewCoin Reports: This is a well-known information site which publishes regular reports covering sentiment, fundamental and technical analysis extended across a wide range of altcoin markets as well as BTC.
- TradingView: In addition to providing a range of charting tools you may find useful, TradingView allows its users to share their analysis with others. This is the only source in this section where you an view content for free, but please beware that not all of the authors are professional traders.
Analyst Opinion Summary
The widget you can see below displays the latest opinion of analysts on Investing.com with simple signals of ‘Strong Buy’, ‘Buy’, ‘Neutral’, ‘Sell’ and ‘Strong Sell’. It is automatically set to a 1 minute time Frame which probably won’t be very useful for most traders, but you can change that to display a longer period without leaving the page:
Bitcoin Technical Analysis Software: Charts and Tools
A handy charting tool created by TradingView is provided at the top of this page, and I wholeheartedly recommend you have a play with it if you haven’t already. But of course there are also many other useful charts and tools that you may like to use. Here are some of the best ones:
- Cryptowatch – This site allows you to view price data chart from a range of different exchanges for BTC/USD, BTC/EUR and BTC/CNY. They offer a range of different chart types including Heikin-Ashi, bar, line, mountain or candlestick, and access to a wide range of customizable indicators and overlays. If you create an account you can also connect it to the Bitfinex exchange API and use it as a complete trading platform.
- BTC-E – One of the most popular tools on the traditional financial markets is MetaTrader 4. This exchange allows you to use MT4 for Bitcoin trading.
- Bitcoin Charts – This site has a clean design and is easy to use, and offers a wide range of charts including candlestick, OHLC, closing, median, or typical price, and weighted close. You can view data from pretty much every BTC/fiat exchange with up to four indicators at a time.
- Quandl – If you want to go beyond price and volume data to look at things like the transaction and mining data then this is a great source of information with lots of different charts and the option to export data via API or download as CSV files.
- TradingView – You can see and use the charting tool from TradingView at the top of this page.
- BitcoinChain – An interesting combination of TA charting tools and block explorer for general network stats and transactions, which also pulls order books and latest trades from several top exchanges.
Best Free Sites to Start Learning Technical Analysis
There are loads of great resources available on the internet that you can access for free, to start your journey and learn all about TA. Here is a small selection of the best ones:
- Investopedia: The Basic of Technical Analysis – If you are a complete beginner then this is a great place to start. It will introduce you to the basic principles and terminology that you need to know, as well as some of the most popular chart types and indicators.
- Chart School – This free resource provided by the StockCharts.com website includes a huge amount of information on every aspect of TA.
- InvestTools – There are some really excellent paid courses here, but there are also several free classes which are well worth it for beginners.
- ProBitcoinTrading – Although not specifically related to just TA, this site offers some excellent general trading tips, including a free ebook as well as premium ebooks and consultancy services.