On October 21, 2024, bitcoin was trading at $68,322, supported by a market capitalization of $1.35 trillion. The cryptocurrency saw a 24-hour trading range of $68,145 to $69,431, with a trading volume of $28.79 billion. Technical indicators from various time frames show a mixed picture, highlighting important entry and exit points for traders.
Bitcoin
On the 1-hour chart, bitcoin recently topped out at $69,487 before experiencing a bearish correction marked by several red candles. While high volumes before the peak signaled strong buying interest, the subsequent correction saw lower volumes, suggesting that selling pressure remained moderate. A potential near-term reversal could occur if the price stabilizes and higher lows begin to form, while a drop below $68,000 on increasing volume could indicate further downside risk.
The 4-hour chart shows a more pronounced uptrend, with bitcoin hitting a high of $69,487 followed by a period of consolidation. A key support level is identified around $66,500, providing a strong entry point if the price approaches this level on reduced selling volume. However, resistance remains near the $69,500 to $70,000 range, a point where previous attempts to break this level have met with resistance.
On the daily chart, BTC has demonstrated a steady increase from $58,867 to a recent high of $69,487, indicating a strong uptrend. The series of green candles reflects strong buyer confidence, but caution is warranted as the appearance of red candles and long upper wicks point to resistance at $69,500. A solid entry could be found near the $65,000 to $66,000 support zone, especially if marked by high volume buying action.
Current oscillators show a mixed sentiment. The Relative Strength Index (RSI) remains neutral at 67, while the Stochastic Oscillator and Commodity Channel Index (CCI) signal sell signals at 93 and 110, respectively. On the other hand, the Moving Average Convergence Divergence (MACD) is showing bullish momentum at 1,811, suggesting some buying pressure remains intact. Traders should consider these indicators when assessing the marketâs direction.
All major moving averages are showing bullish momentum. The 10- and 20-period exponential moving averages (EMAs) are at $66,928 and $65,345, respectively, while the 50-period EMA is at $63,294, all signaling buys. The alignment of these averages represents strong support levels, reinforcing the potential for bullish momentum if broader market conditions remain favorable.
Bull's Comment:
The bullish outlook for bitcoin remains strong, supported by consistent buy signals from key moving averages and a steady uptrend seen over longer time frames. The current price stability above key support levels, combined with bullish momentum indicators such as the MACD, suggests further upside potential, provided bitcoin successfully breaks the resistance zone near $69,500.
Bear's Comment:
Despite bitcoinâs recent uptrend, the appearance of red candles and overbought signals from oscillators like Stochastic and CCI suggest a potential correction. Failure to hold key support around $68,000, coupled with a weakening volume trend, could lead to increased selling pressure and a move down to the $65,000 range. Bullish traders should remain cautious until clear trend reversal signals emerge.
