With Bitcoin price having made such impressive gains so far in 2019, let’s take a look to see what is likely to happen next.
Bitcoin Price: Weekly Chart
Bitcoin price 00 closed the week at $5162 having established new 2019 highs at $5478. This marked the end of a seventh consecutive green candle win streak, closing out on a spinning top doji – an indecision candle.
The weekly chart shows that the price of bitcoin is currently being held down by the declining 50 week moving average. Interestingly, this is exactly what also occurred during the end of the 2015 bear market.
Despite the weekly green candle streak failing, the MACD histogram has completed its tenth weekly higher high, illustrating the strength of the emergin bullish trend within this bear market. The MACD line itself is now also threatening to break above its zero line, which is would be for the first time since October 2015.
The On balance volume indicator, which plots a combined cumulative volume and price direction, also shows a strong break out of the downward trend and confirms the 2019 trend is supported by strong buying interest in the $3000 price range.
2015 vs. 2019 Bitcoin Price
Looking back at the 2019 and 2015 bitcoin price charts, it clearly emphasises that the scenario is very similar – the 200 WMA has acted as support and following a strong break out to the upside, the 50 WMA has immediately acted as a roadblock.
It would therefore seem likely that BTC/USD will need to at least backtest the $4100 breakout level, if not the rapidly rising 200 WMA, which is now north of $3500.