Bitcoin price bulls build the fifth consecutive weekly green candlestick. However, they remain at the mercy of traditional markets as the price of the cryptocurrency dropped below USD 7,000 last April 20th once again.

The price of Bitcoin (BTC) closed the week between April 13th and Aril 19th at USD 7,126 with highs of USD 7,306 and lows of USD 7,472. This represented a 3.16% gain and a fifth consecutive week of buying pressure since the sharp fall of USD 3,000.

Bitcoin started the week between April 20th and April 26th with a massive sell-off and prices below USD 7,000, after traditional markets, which also dripped around 2%.

Ether (ETH), which went up by 14% the week before with highs that reached USD 190 and had outperformed Bitcoin, went down by about 2.86% to USD 175.

EOS, which had a strong week, gained 4% and is proving to be stronger than Bitcoin and Ether, has a price of USD 2.60.

Bitcoin’s dominance fell by around 1.2% the week before, just below 64%, primarily due to the profits that ETH, EOS, Link, and Tezos made.

Bitcoin 1-Week Chart

The 200- and 100-week moving averages previously acted as support and resistance, whilst the 100-weighted moving averages were tested repeatedly during the previous five weeks, defined by higher weekly closings illustrating a lack of selling interest.

The weekly closing marginally above the 100-week moving average (MA) also means that bulls have pushed prices 50% towards 2020 highs, with the 20-week MA and 61.8% retracement as the next obstacle to overcome just under USD 8,000, if the momentum can be maintained.

Meanwhile, the Moving Average Convergence/Divergence (MACD) indicator shows that bulls are close to achieving a bullish cross, which previously preceded larger bullish moves, with the last two instances of occurrence bringing the price of Bitcoin to USD 10,000.

Besides, there is an unconfirmed bullish divergence in the histogram, which supports the case that bears are no longer in control of the momentum. Additionally, the previous week’s volume remained relatively high, proving that buyers have remained in control of price action for five weeks in a row.

Bitcoin Price Moves Closer to Buying Opportunity

The On-Balance-Volume (OBV) indicator clearly shows the purchase volume, which tracks the cumulative volume that the direction of the price dictates. Therefore, this particular indicator highlights the impact of continued high-volume buying, reaching record highs and exceeding the 2020 high, further illustrating that bulls have been firmly in control in the last few weeks.

The previous week’s lows of USD 6,500 showed that bulls are interested in buying the USD 6,500 level once again, like in December 2019, which defined the accumulation period before the rapid move to USD 10,000.

Bitcoin seems to have regained this accumulation range once again and people would expect USD 6,500 to be a buying area of ​​interest if it is tested again. However, bulls need to hit the top USD 7,000 to show that they are strong.

By Alexander Salazar

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