Weekly Bitcoin (BTC) Technical Analysis (Oct 14th ~ 20th, 2024)

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By Tokenize Xchange
October 14, 2024

Disclaimer: The following content is provided for informational purposes only and does not constitute financial advice. The strategies and techniques discussed here are based on general knowledge and are intended to enhance understanding of various market concepts. Readers should conduct their own research and consider seeking advice from a certified financial advisor before making any investment decisions. The information provided does not account for individual circumstances, financial objectives, or risk tolerance.

1. Market Overview

BTCUSD_2024-10-14_14-12-41

  • Current Price: $64,331 (as of Oct 14th, 12 PM UTC +8)
  • Trend: V-shape, Recovering from mid-week dips
  • Market Sentiment: Neutral to Bullish recovery

Over the past week (October 7–13), Bitcoin (BTC) has displayed volatility. After starting the week around $63,600, BTC dropped sharply to a low of $59,400 on October 10, before making a strong recovery back above $62,500.

The price action shows BTC forming a V-shaped recovery, but it has been unable to break and sustain levels above $63,200, indicating a possible consolidation phase ahead. $64,000 acts as an immediate resistance, while the psychological level of $60,000 serves as a key support level.

2. Key Technical Indicators

Name Value Signal
Relative Strength Index (14) 54.00 Neutral
Stochastic %K (14, 3, 3) 67.00 Neutral
MACD Level (12, 26) 1,251.00 Sell
Exponential Moving Average (10) 62,350.00 Buy
Exponential Moving Average (20) 61,793.00 Buy
Exponential Moving Average (30) 60,301.00 Buy
Exponential Moving Average (50) 56,007.00 Buy
Simple Moving Average (50) 57,228.00 Buy
Simple Moving Average (100) 41,520.00 Buy
Simple Moving Average (200) 40,175.00 Buy
Ichimoku Base Line (9, 26, 52, 26) 60,768.00 Neutral
Volume Weighted Moving Average (20) 61,834.00 Buy
Overall Strong Buy

3. Support and Resistance Levels

P = Pivot point

S1 2 3 4 = Support level 1, 2, 3, 4

R1 2 3 4 = Resistant level 1, 2, 3, 4

Open: $62,819.11

High: $64,443.71

Low: $58,895.21

Close: $62,851.38

Pivot S4 S3 S2 S1 P R1 R2 R3 R4
Classic 48,586.2 54,134.7 59,683.2 62,063.4 65,231.7 67,611.9 73,160.4
Fibonacci 56,514.9 58,634.5 59,943.9 62,063.4 64,183.0 65,492.4 67,611.9
DeMark 55,324.8 57,110.0 60,873.3 62,658.5 66,421.8 68,207.0 71,970.3
Camarilla 59,799.7 61,325.5 61,834.2 62,342.8 63,360.0 63,868.6 64,377.2 65,903.1

4. Volume Analysis

The volume profile shows two major spikes. The first occurs during the sell-off around October 10, indicating panic selling or a liquidation event. The second volume spike happens during the recovery on October 11, suggesting that buyers quickly stepped in to defend the key support levels around $60,000.

However, the volume has tapered off toward the end of the week, suggesting market indecision. If the price moves significantly without accompanying volume, it could indicate a false breakout, meaning traders should be cautious of potential fakeouts.

5. Sentiment Analysis

Sentiment appears mixed but slightly more positive given the strong recovery after testing the $59,400 support. The V-shaped bounce indicates bullish interest at lower levels, but the struggle to sustain prices above $63,200 suggests that many traders remain cautious.

Market sentiment will likely be driven by macroeconomic events and any major announcements in the cryptocurrency space. If Bitcoin can break through and hold above $64,000, sentiment could turn more decisively bullish. Conversely, another rejection from resistance may result in a short-term bearish outlook.

6. Trading Strategy for the Week

For Bullish Traders:

  • Entry: Look for a breakout above $63,200, with strong confirmation if BTC closes above $64,000. A breakout on high volume could signal the continuation of the upward trend.
  • Target: $65,000 and $66,500 in the short term.
  • Stop-Loss: Set a stop below $61,500 to manage risk in case of a pullback.

For Bearish Traders:

  • Entry: A failure to break $63,200 could offer a short opportunity, especially if BTC fails to maintain support above $62,000.
  • Target: $61,000 and $59,500 (the recent low), if the bearish momentum intensifies.
  • Stop-Loss: Set a stop above $63,500 to protect against a breakout.

Range Traders:

  • Bitcoin appears to be consolidating in the $61,000–$64,000 range. Range traders could look to buy near the lower bound and sell near the upper bound.

7. Conclusion

For this week, Bitcoin’s performance is largely dependent on whether it can break the $63,200–$64,000 resistance zone. If buyers fail to push past these levels, a pullback to support near $60,000 could be in the cards.

Disclaimer

All content produced by Tokenize Exchange is intended solely for educational purposes. This should not be taken as financial or investment advice. Individuals are advised to perform due diligence before purchasing any crypto as they are subject to high volatility.