Bitcoin price has recorded $1900 for the first time ever since the launch of bitcoin back in 2009. According to data from Coinmarketcap.com, the 24 hour trading volume across the BTC/USD markets on various exchanges has already exceeded 167 million USD, by the time of writing of this update.
Many of the market’s observers, including myself, have expected bitcoin price to hit the $2000 mark before the end of the year 2017 and with today’s bullish rally, this target level seems to be happening soon enough.
Price Correction is Eminent On BTCUSD 4 Hour Chart:
Let’s examine the 4 hour BTCUSD chart from Bitfinex (look at the below chart). I plotted the Bollinger Bands for the chart to help us see where the market will be heading during the next couple of days.
- Today’s trading sessions kicked start with bitcoin price at around $1765 and within 8 hours, the market’s bulls managed to take price up to record the day’s high of $1900. before dropping down again to $1853 when this article was being written.
- Bitcoin price is now moving tangentially to the upper Bollinger Band, which denotes the relative instability of the market at current price levels. Market stability can take place at lower price levels, when the chart can be seen moving more or less near the middle Bollinger Band. As such, we can see price drop to the $1700s range, if downwards price correction ensues.
- Now, let’s plot Gann Angles on the 4 hour BTCUSD chart that is bound by the low scored on April 17th ($1205) and the high scored earlier today ($1900). As we can see, the rate of rise of bitcoin price is now rather steep, as it is now moving along the 2 x 1 Gann Angle, which reflects a very strong bullish wave. At this high rate of rise, the market is more or less unstable, so price correction is expected to take over and pull price down to move along the 1 x 1 Gann Angle.
Conclusion:
Bitcoin price has recorded $1900 for the first time ever earlier today. A strong bullish wave is controlling the market at the moment, yet a downwards price correction wave is expected to take over soon, and we can see price drop down to the $1700s within the next 24 hours or so.
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Chart from Bitfinex