Bitcoin bulls have some reasons to be cheerful

  • The BTC/USD enjoyed a third consecutive week of quiet gains.
  • The beginning of September should see more volatility.
  • The technical picture looks more bullish after the 50-SMA breach

The price of Bitcoin continued its quiet march to the upside, with the BTC/USD surpassing the round $7,000 level. The last week of August featured no extraordinary news to move cryptocurrencies. However, the cooperation between Coinbase and Yahoo Finance was well-received and so was the report that the CBOE will add futures for Ethereum. Bitcoin indirectly enjoys upbeat information about other cryptocurrencies.

The SEC is still re-checking the recent rejection of the ProShares request for an ETF based on futures. The more significant decisions await for late September, with the 21st and the 30th being the critical dates. Why are ETF’s important? They would allow mainstream investors an easy access to Bitcoin, pushing the underlying asset as well as the ETF higher.

To understand more about ETF’s see: Bitcoin ETF explained: 9 questions and answers about the critical crypto catalyst

Trading volume is expected to pick in September after the summer holidays end for many people around the world. Trading volumes in US exchanges are projected to pick up from September 4th, after the Labor Day Weekend.


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What’s next for Bitcoin?

BTC/USD Technical Analysis – A few bullish signs

The BTC/USD daily chart shows that this week saw the break of the price above the 50-day Simple Moving Average, a bullish sign. In addition, Momentum turned positive and the Relative Strength Index is slightly above 50.

Significant resistance awaits at the $7,150 to $7,200 region. The first figure was the peak seen this week and also in early August. The latter one was a swing low in July.

Further up, $7,450 was a low point in late July. $7,800 is a level of high importance. It supported the BTC/USD in mid-July and also coincides with the 200-day SMA.

$6,870 was a swing high in mid-August and is close to the double-top of $6,800 seen in late June and early July. $6,200 supported Bitcoin in mid-August while the round level of $6,000 was a cushion earlier on.

The Forecast Poll of experts provides interesting insights.

More: Top 3 Predictions Bitcoin, Ethereum, Ripple: Spectacular September may follow this summer suffer-fest

Get the 5 most predictable currency pairs

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