Bitcoin price continues to inch closer to $10,000, rallying 5.68% to reach $9,600 on May 28.
Today's rally brings Bitcoin price back to the $9,600-$9,800 zone where the digital asset traded from May 13 - May 20 and it also increases the likelihood of a return to $10,000.
Is today just another pump before the dump? As reported by Cointelegraph and Arcane Research, Bitcoin price tends to experience increased volatility around CME BTC futures expiry dates.
Arcane Research found that after analyzing price behavior from January 2018 to August 2019, Bitcoin price dropped 75% of the time before futures expire.
If we break $10k,this adds buying power for call options but I like to monitor contango more than funding rate in order to see how the curve of next futures contracts is priced vs spot.
The daily chart shows that Bitcoin price has pushed above the lower trendline of the former ascending channel and the price is meeting some resistance at the VPVR high volume node at $9,675.
Since breaking from the falling wedge yesterday, BTC price has rallied 8.38% and at some point a retest of the $9,200-$9,300 level should occur.
As of now the price continues to trade within a symmetrical triangle and a break above $9,800 would push the price above the triangle trendline and the high volume VPVR node located at the same level.
A rejection at $9,700-$9,800 would raise the chance of the price dropping below $9,500 to retest the $9,200-$9,300 range which is near the 20-day moving average.
If traders manage to push the price above the pennant trendline and clear the $9,800-$9,900 level, Bitcoin price has a good shot at rallying to $10,300 where the long-term descending trendline from the December 2017 all-time high is located.
Bitcoin Price Rallies to $9.6K as Record CME BTC Contracts Expiry Looms
gepubliceerd op May 29, 2020
by Cointele | gepubliceerd op Coinage
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