Bitcoin rallies in a show strength over the past week

By:

Published: Apr 14, 2018, 04:29 GMT+00:00

Bitcoin markets rallied rather significantly during the week, with most of the surge being had on Thursday. The market broke the top of the previous weeks shooting star, so that of course is a very bullish sign. However, there’s also shooting star just above that I think extends to about $9000. In other words, we may get a short-term pullback but the rally over the week is a very encouraging sign.

BTC/USD

Bitcoin traders rallied during the week, especially on Thursday as a sudden surge of money was thrown into the market. There wasn’t any news on this move, so it could be a large institutional player getting involved. The market still needs to deal with the shooting star from 3 weeks ago, which focuses on roughly $9000. I also recognize the $10,000 level above as a potential barrier. So, if you are a longer-term trader, this is a good sign, but you should recognize that this is going to be a grind higher if we can in fact get a rally going.

BTC/JPY

Bitcoin did the same thing against the Japanese yen, bouncing from the ¥700,000 level. This is a very bullish sign, but just as we have against the US dollar, we have a shooting star from 3 weeks ago that coincides with a resistance barrier in the form of ¥1 million. Beyond that, we also have a shooting star above the ¥1 million level, that extends to the ¥1.25 million level. So, that means there should be structural resistance above. That doesn’t mean we can break through it, as this was a very bullish sign. However, what it does mean is that it’s going to be a grind higher if we can get the uptrend going forward. Longer-term traders will need to show a lot of patience.

About the Author

Christopher Lewisauthor

Chris is a proprietary trader with more than 20 years of experience across various markets, including currencies, indices and commodities. As a senior analyst at FXEmpire since the website’s early days, he offers readers advanced market perspectives to navigate today’s financial landscape with confidence.

Editors’ Picks