"Bitcoin is about to reverse? Is there still a chance to get on board?"
As can be seen from the figure, Bitcoin is currently in the stage of breaking through a long-term downward trend line. After several days of rebound, the price has broken through this downward trend line and is trying to stand above this line. This pattern is usually regarded as a preliminary signal of trend reversal.
MACD has formed a "golden cross" and the bar is gradually widening, indicating that the market bullish momentum is increasing. The openings of the DIFF and DEA lines are also expanding, which is an obvious bullish signal, suggesting that there may be further upward space next.
The KDJ indicator is currently in the overbought range (85.55) and has become blunt. Although this is a short-term bullish signal, when the indicator stays in the overbought area for a long time, it is necessary to be alert to possible pullbacks or shocks.
RSI is currently at 73.97, which is in the overbought area, showing that the market sentiment is relatively optimistic, but there is also a risk of short-term pullbacks.
Comprehensive analysis
1. Whether the price can effectively stand above $63,000 is the key to the continued strength of the bulls.
2. Whether the trading volume will be further enlarged. Without the cooperation of trading volume, the effectiveness of the breakthrough will be questioned.
If Bitcoin can break through and stand above $63,000 in the next few days, it is expected to further attack the $65,000 or even $70,000 range; on the contrary, if it falls below $60,000 again, it may fall back to the support area of $56,000.
