Coin Zone Trends: Bitcoin Price Trends Based on Big Data This Week (2017-05-05)

The price of the currency may fluctuate after a slight correction
1. Market Trends <br/>Today is May 5, 2017. The current price of Bitcoin is 1437.58 USD. Yesterday, the price of Bitcoin generally fluctuated upward, reaching the highest point of the day at 1464.75 in the late trading. However, the price fluctuation in the hourly chart has increased significantly, indicating that the divergence between long and short positions has increased, and the possibility of fluctuation adjustment in the future market has increased.
Looking at the daily chart, the moving average system (5, 10, 20) still shows a bullish arrangement, but the price has gradually moved away from the moving average system in the past two trading days, and there is a need for a return test on the long side. The upper and lower shadows of the K-line at this level are long, while the real body is short, indicating that the long-short game has entered a stalemate. In addition, the stochastic indicator and the strength and weakness index have entered the hovering zone from the overbought zone, and the bullish potential has temporarily subsided.
Looking at the 4-hour chart, the bullish arrangement of the moving average system has been destroyed, the price has fallen below MA20, and the MACD indicator has a dead cross in the strong area, indicating that the volatility in the future market may expand. At the same time, the stochastic indicator and the strength index are rapidly extending southward, and the potential of the short side is gradually increasing. In addition, a symmetrical expansion pattern appears in the chart at this level (as shown in the figure), which is a bearish pattern in most cases.
Overall, the volatility of global currency prices has intensified today, and the unilateral strong operation pattern is no longer evident. The price pattern has gradually evolved from regular and compact to irregular and loose, indicating that the bulls have temporarily run out of momentum after more than a month of rising prices. The market is likely to fall into shock adjustments in the future. Investors are advised to prepare corresponding risk prevention strategies.

2. Price trend index "Bitcoin price trend index" is an indicator similar to the "long and short index" compiled by Coinzone based on statistics from domestic and foreign Bitcoin trading platforms. The purpose of the indicator is to analyze the distribution of long and short forces in the current market in order to better analyze and judge price trends.