In this episode of NewsBTC’s Daily Technical Analysis VideosIn this article, we examined the recent supply of bulls after the bloody Monday morning open in Bitcoin price action.
Video: Bitcoin (BTCUSD) Price Analysis: September 19, 2022
Last night, we had the weekly closing Bitcoin priceAnd, overnight, there was a significant drop in the low $18,000 region. However, since the 9 a.m. opening Monday morning, prices have risen more than 5% leaving behind a long wick.
Bull stop bear short time with hammer
Bitcoin price constitutes a Hammer. Hammer is a type of bullish reversal signal in Japanese candles that represents a sudden large presence of bulls once the main price target is reached.
On the daily time frames, there is not much significance that happens to confirm the signal. The price touched the drop again Bollinger Bands where the interaction occurred. The RSI indicates that the strength behind the move was very weak despite the depth.
Random It also fell to the oversold line. Consolidation above it leads to short-term rallies, but as you can see in the past, the price can fall again.
Despite the plunge, there wasn't much strength from bears | Source: BTCUSD on TradingView.com
Weak weekly momentum may be ready to change
Since today is the first day of the week, the weekly candle in Bitcoin is currently a hammer as well. With several days left before closing, it is unlikely that it will remain that way. hammer head, or real candle bodyhanging above the previous all-time high resistance.
Zooming in closely, you can see why this movement was particularly frustrating for bulls. Which dealers have entered? Positive effect It would be discontinued months after the site was built, leaving only those who entered through the wick to $17,500 remaining in a long position.
Given the overall situation and the severe bearish sentiment, it appears that new lows are being imposed. However, the bearish momentum has weakened on the weekly time frames, which is a bullish signal to go with the hammer candle. If the bulls manage to close the weekly chart in the green and complete a bullish cross on LMACDContinuous rise can be embodied.
Comparing it to the bottom of the 2018 bear market, once it crossed, Bitcoin never returned to those prices.
Bears expose weakness on weekly timeframes | Source: BTCUSD on TradingView.com
Related reading: WATCH: Ethereum Merge Selling News Event | ETHUSD 15 September 2022
Why Bitcoin Bulls Have 11 Days to Save September
There are only 11 days left in the monthly candle, which is all the time left for the bulls to prevent a much deeper selloff in Bitcoin.
Although the current candle looks ugly, compare it to the previous levels where the meaningful reversal started. a doji pattern The September close may be the start of a set of supports telling the market that no new market bottoms will occur.
It is the responsibility of the bulls to put in a strong bid over the next 11 days to put an end to the bearish momentum on the monthly time frames. In the past, the pink graph was the turning point that let the market know that the bulls are regaining control of the cryptocurrency.
How will September end?
Can bulls finally stop bearish momentum? | Source: BTCUSD on TradingView.com
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Featured image from iStockPhoto, Charts from TradingView.com