Bitcoin has been able to finally bounce back after the bears were able to drag the price down to $6526. The bulls finally woke up and boosted Bitcoin back up to $7378 within 12 hours.
A move that had a lot of continuation and a significant trading volume which indicates it’s not just one whale trying to manipulate the price.
The bulls are now looking to change the daily trend, a task that is still quite difficult as the last high of the downtrend is all the way up at $8371.
The 4-hour chart is now in favor of the bulls which have set a bull flag looking to be confirmed. They are trading above the 12-period EMA but getting rejected from the 26-period one. The RSI has cooled off but it’s not in the overbought area just yet.
It’s important to look at longer timeframes as the weekly chart is clearly showing that this recent move is nothing but normal fluctuation to the upside in a massive downtrend. The bulls will need more than just one move in order to shift the odds in their favor.
The monthly chart is still waiting for the bulls to confirm the next higher low which could be $6526. The bulls managed to bounce back from the monthly 26-period EMA and are looking for more continuation.