Coin Zone Trends: Bitcoin Price Trends Based on Big Data This Week (2017-02-20)

The computing power is rising slowly and the callback is adding long-term positions
1. Market Trends <br/>Today is February 20, 2017. The current price of Bitcoin is 7116 yuan. Yesterday, the price of Bitcoin maintained a downward trend from the opening, dropping to 7020, and then rebounded to 7100 yuan. Last weekend, the price of Bitcoin once again attacked 7200 points, and the weekly K line formed a short-lived positive line, indicating that the bulls withstood the selling pressure of the bears and once dominated the trend. However, as of press time, the bears have almost recovered the gains of the weekend, and the price of Bitcoin still faces pressure to break through.
Looking at the daily chart, the price of the currency quickly rushed to the upper track after breaking through the middle track of the Bollinger Band, but finally fell before reaching the upper track. The Bollinger Bands are still converging, suppressing the further rise of the currency price. The 12-hour K-line is just blocked by the upper track of the Bollinger Bands, forming a situation of step-by-step retreat. Therefore, the market needs more narrow fluctuations to release the pressure of profit-taking. At the same time, the stochastic indicator and the strength and weakness index diverged to the south without entering the oversold zone, and the MACD indicator formed a golden cross with dragging water, indicating that the bulls hesitated for a long time when attacking.
Looking at the 4-hour chart, after the death cross appeared yesterday, the price of the currency fell to the 20-day moving average and was supported by it. The MACD indicator appeared a death cross on the zero axis, and the area of ​​the red column representing the strength of the short side continued to expand. The stochastic indicator and the strength index entered the oversold zone, indicating that there is still room for adjustment at this level of currency. At the same time, since the energy of the short side is consumed too quickly, pay attention to the long side taking the opportunity to fight back.
In general, the price of the currency still faces pressure to break through 7200 points. On the weekly chart, the bulls are subject to the pressure of the double-shoulder top, and three flat-top K-lines appear. The number "three" is an extremely important number in financial analysis technology. Whether the bears are testing downwards or the bulls are attacking upwards, three consecutive failures often mean fatigue and they will take a step back and hold on.
From the data observation, the trend indicator and the long-short index have been bearish in the past two days, and the newcomer index has been hovering at a high level for a long time. The foreign market and futures contracts show a strong upward trend. The Bitcoin network computing power is consistent with our estimate at the end of last year. It broke through 3000P around the Spring Festival and is currently 3200P, still rising slowly. Based on this, we believe that buying for long-term investment is a more prudent operation when the market falls back.

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.