Bitcoin’s upper dip (BTC) allows possible rise

Bitcoin’s price created a bullish Japanese recovery candlestick on September 24.

There is support at $ 10,200, and resistance at $ 10,800.

The price could have started a bullish impulse

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On September 24, Bitcoin Lifestyle price created its first higher low since the September 4 fall, along with a bullish Japanese recovery candlestick. It is possible that this is the start of a new upward movement for BTC.

Japanese bullish recovery candlestick

On September 25, Bitcoin’s price created a bullish Japanese recovery candlestick, rising from a low at $ 10,193 to a high of $ 10,795. It also created its first upper low since the fall on September 4.

Despite this rise, technical indicators have not yet confirmed the upward trend. The MACD is on the rise, but it has not yet moved into positive territory and the RSI is below 50.

Moreover, the Stochastic Oscillator should also form a bullish cross which would go a long way in confirming the uptrend.

The shorter-term, six-hour chart also suggests that the uptrend is not yet confirmed. The rise only reached the 0.618 fibonacci level of the previous downward movement, $ 10,783, just below the $ 10,800 area. This area first served as support and should now offer resistance. It is therefore possible that the move is a retracement in response to the earlier decline. In this case, the closest support is at $ 10,200.

Technical indicators are turning bullish. The MACD is up and the RSI is above 50. That said, the MACD has not yet entered positive territory.

The rise in the two-hour chart shows that this could be the start of an upward movement. The price has broken through a descending resistance line, the MACD is positive and the RSI is rising without generating a bearish divergence.

The two most plausible options are:

A move above the $ 10,800 zone and its validation as support, before the price continues to rise (in green below);

a decline towards $ 10,400 before a rise towards $ 10,800 (in red).

At the time of writing, the second option seemed the most likely.

If the $ 10,400 area fails to support price, it would greatly reduce the chances of it being an upward move. Likewise, a decline below the low of $ 10,138 would confirm that this is not the case.

The recent move in BTC, particularly the September 25 rally, increases the possibility that the price started a bullish impulse (in orange below) on September 9.

In this case, price has completed a first wave then its correction (in red), and has now started wave 3. A decline below the September 23 low, at $ 10,136, would reject this wave count.

There is a possible bearish scenario where the earlier rise would be part of wave 4, while the September 25 rise would be the sub-wave 2 of a bearish impulse (in red below). That said, the correction was too short to be considered as such, and this count doesn’t mesh very well with the longer-term move. It is therefore unlikely that this is the correct account, unless the price drops below $ 10,136.

In conclusion, unless the price of BTC declines below $ 10,136, it is likely that it has started a bullish impulse.

Peter Brandt: Don’t see any opportunities in crypto

He prefers to invest his money elsewhere.

When faced with a choice between blockchain and traditional investments, things could look better in the stock market, according to Peter Brandt, CEO of trading firm Factor LLC. However, he added that it would depend on the choice of base currency.

Brandt made it clear that he had mainly switched to the US dollar when considering his next steps

„At the moment, I think that the opportunities in the stock market are greater than in the crypto market,“ he told Cointelegraph on September 9th.

„I just can’t imagine really speculating with crypto,“ Brandt continued. He traced this mindset back to his generation. Brandt has been in traditional market trading since 1976, building Factor LLC in 1980, decades before the invention of blockchain assets.

„I belong to a generation that defines their wealth in US dollars,“ said Brandt. He described the US dollar as his standard method for storing wealth. „‚For a lot of the younger generation, the home currency is Bitcoin System or whatever. I mean, whatever their house stone is.“

He was referring to a fad from the 1970s where people paid money for stones and they were sold in boxes as pets

“ Stacking Sats “ is a term from the crypto area. This means that people keep their assets in Bitcoin while investing trade and other profits back into Bitcoin to keep them longer term. Most of the industry also views the asset as a hedge or store of value . This indicates a possible generation change away from the US dollar. This has been the leading store of value in the past decades.

„I’m keeping a low profile and looking for opportunities,“ said Brandt, referring to his current attitude. „I currently see greater opportunities in selective stocks, not in the broad market, but in selected stocks. I see these less in crypto.“

In 2020 , mainstream assets have skyrocketed. Brandt’s view therefore coincides with the current stock market atmosphere.