Bitcoin hits $5400 after increasing more than 4%. FOMO?

Okay! Bitcoin has increased more than 4% during the last 4 hours of the session on Wednesday, in what for many is an upward rally. While an investor has bought in the $ 5220 (price of the 8:00 AM Central Time) at this time has had about $ 160 per unit of profit.

However, one of the reasons why we do not recommend buying during today’s session is the high risk of a pullback since BTC moves above 85% of the RSI, that is, it is overbought.

Key Highlights

  • Bitcoin plays the $5,400
  • Possible Pullback before touching the $6000
  • Market FOMO accelerates purchases

Although BTC has reported an excellent increase during today’s session, we should keep in mind that long entries can be very risky for novice investors; this is because BTC is likely to fall back to $ 4500 before experiencing a bullish rally. .

It is evident that many whales are interested in the market increasing the price, since they could be looking for a starting point for those who bought BTC below $4000.

Bitcoin will increase, above $7000 – $9500 is what we have determined for this 2019. However to get to that point BTC needs to make corrections and it is at this time when a strong correction could happen.

BTC/USD Time Frame 1 day

Technical indicators

  • Moving Averages EMA 9/26
  • RSI (relative strength index) 84%
  • Support $4500
  • Resistance $6100

 

Disclaimer
This analysis should be used as an information medium; it does not pretend to be an investment advice. Investing in cryptocurrencies is highly risky; avoid investing the money that you cannot afford to lose.