Bitcoin tests 100 day MA for the first time since October 2018
Last close above 100 day MA was back in September 2018.
A long sideways up and down non-trending market from the end of November to now, has allowed the 100 day MA to slowly catch up with the price. That up and down price action has been confined to $3314 to $4414 (so $1100), with most of the price action below $4000 and above $3314.
Today, thanks to an announcement from JP Morgan that it is launching its own JPM Coin cryptocurrency, the price of bitcoin on Coinbase is up $276 at $3860.09. That key 100 day MA is at $3867.50 today. We are currently just below that level although earlier the price did spike above on the way to a high of $3917.
Key moment for both bulls and bears. Does the JP Morgan announcement give more credibility to crypto and shake the bearish cobwebs from the digital currency since the November 2017 peak at near $20K? Or does the MA give risk sellers an opportunity to sell on the test, in hopes of a run back down.
Looking at the daily chart above, the price today also moved above a trend line at $3800. Going back below that level may be a risk for longs looking for the break higher to continue.
The targets on the topside beside the $4000 are swing highs from Jan at $4113 and December at $4239. The end of Novmber swing high came in at $4414.