BITCOIN - OBV- TECHNICAL ANALYSISsteemCreated with Sketch.

in #bitcoin7 years ago (edited)

Looking at BTC, using the ichimoku and the On Balance Volume (OBV) oscillator , I suspect there is underlying weakness in the market. The Bulls are a little tired and wired carrying BTC to stratospheric levels, and a trend change is possible here. This probably has a fair bit to do with all the attention (read: money) being grabbed by the other alts, utility and commodity tokens. The crowd currently seems to favor owning large number of absolute coins instead of the fractions that the old cryptos are now offering the masses.

Larger volumes means more stability. Most don't seem to like that. No 100% gains a day! (hello Reddcoin!).

The chart looks like this at the 1D scale :

The thing to note here is the regular bearish divergence between the price and the oscillator. While the price is making higher highs, the OBV is showing lower highs. Taken with the fact that the price is testing the kijun-sen (base line), which is a strong point of resistance, my gut tells me a meeting of the price and the cloud is long over due. The last time being in mid-September. A return to equilibrium is healthy. Expect is soon.

The next point of resistance I spot is at 17240, which I be surprised to see the price skirt that.

Do you agree or disagree? Let me know your thought on the days ahead.

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