The price of Bitcoin jumped from around $7310 to about $8444 in under 24 hours. However, i think this could just be a dead-cat-bounce with weak volume.
BTCUSD 4H Chart
- From the 4H chart, the volume does NOT impress me and thus leads me to think this could just be a dead-cat-bounce.
- There was a bullish divergence, but price has already rallied and resolved that divergence.
- And still, price is trading under the cluster of 200-, 100-, and 50-period simple moving averages.
- Price is also below the previous resistance pivot $8595.
- So let's not get too excited about this because the overall picture is still bearish in the short to medium-term.
- However, in the very short-term, there could be some more choppiness with upside towards $9200-$9300.
- This could be a critical resistance for the bearish scenario to hold.
- For the 3/19 session, if price continues to hold under $8400, we can expect further decline heading into the 3/20 session.