Bitcoin's bounce from the support of the 10-candle moving average on the three-day chart may have opened the doors for a retest of recent highs above $13,000.
A failure to hold above that support level would validate the bearish candlestick pattern seen on the daily chart and allow a drop to support at $10,769.
Bitcoin has bounced up from historically strong price support, raising the prospects of a renewed push toward recent highs above $13,000.
The move below $11,000 remained elusive with the cryptocurrency finding takers around the three-day chart 10-candle moving average support - then located at $11,150 - and rose to a high of $11,797 soon before the press time.
The $600 bounce from the 10-candle MA could be a sign the pullback from the weekly high of $13,200 has ended.
The 10-candle MA has consistently acted as strong support, reversing corrections throughout the rally from February lows near $3,500 to June highs near $13,800, according to Bitstamp data.
This year, BTC first found acceptance above the 10-candle MA on Feb. 9 and the technical line has acted as strong support ever since.
The 10-candle MA also fueled strong price gains in early May and June.
All-in-all, there is a strong reason to believe that the latest bounce from the 10-candle MA will be extended further toward recent highs.
The focus would shift back to the bearish outside reversal if prices fall back below the 10-candle MA, currently at $11,167.
Pullback Over? Bitcoin Bounces $600 From Historically Strong Price Support
Published on Jul 12, 2019
by Coindesk | Published on Coinage
Mentioned in this article
Research finds Bitcoin and Litecoin halvings do not impact price
Contrary to the popular media narrative, new research finds that Bitcoin and Litecoin prices are unimpacted by block reward halvings.
Libra's Biggest Problem
Among the barrage of commentary accompanying the Libra circus on Capitol Hill last week was a single short tweet from lawyer Marco Santori that summed up the core problem confronting Facebook's cryptocurrency project - and, for that matter, any corporate-led effort of its kind.
Crypto and FB's Libra Are Bridges to a Bitcoin World, Says Tim Draper
Bitcoin will be the ultimate benefactor from interest in Facebook Libra and cryptocurrencies, billionaire Tim Draper has said.
Craig Wright's misinformed attempt at scaling Bitcoin, BSV frivolously increasing block size to 2GB
In Craig Wright's latest marketing attempt, Bitcoin SV will increase its block size cap from 128MB to 2GB. The upgrade will make BSV less secure, more centralized, and more costly for infrastructure providers to maintain.