The post Analyst Says Bitcoin (BTC) Bull in Danger Points to End of August! appeared on BitcoinEthereumNews.com.

Bitcoin (BTC) is exhibiting quite volatile movements as it struggles to hold on above $60,0000. While the market is looking for answers to questions such as “Is the direction clear for BTC?”, “Will there be another correction?”, and “When will the rally begin?”, a new analysis came from Fairlead Strategies. In its latest report, analysts at Fairlead Strategies said Bitcoin’s monthly stochastic is signaling an “overbought bearish” signal, indicating that bullish momentum is weakening and there is potential for a downside. Stochastic is an indicator used by technical analysts to compare the market price of an asset to a range of prices over a specified period of time, typically 14 days, weeks or months. The indicator fluctuates between 0 and 100, with readings above 80 indicating an overbought situation. Accordingly, analysts stated that Bitcoin’s remarkable upward trend that started after the FTX crash was in danger and pointed to the end of August for confirmation of the bearish signal: “An overbought drop occurs when the indicator moves down from the overbought zone above 80. This indicates that the uptrend is weakening and there is potential for a price drop. At this point, Bitcoin’s monthly chart is signaling an overbought drop in monthly stochastics. Because Bitcoin’s 14-month stochastic has fallen below 80. If the situation continues until the end of August, the overbought decline will be confirmed. “If the Bitcoin stochastic continues below 80, it would be a negative catalyst for the price and would indicate that the trading range is signaling the end of the cyclical uptrend from the 2022 low.” Fairlead Strategies analysts lastly stated that MACD and Ichimoku cloud indicators also point to a downward trend and said, “These indicators are a sign that there is a difficult environment ahead for Bitcoin.” *This is not investment advice. Follow…

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Filed under: News - @ August 22, 2024 7:18 am