Avoid blindly selling and be wary of continued pullbacks

1. Market Trends <br/>Today is May 27, 2017. The current price of Bitcoin is $2162.4. Yesterday, the price of Bitcoin rebounded slightly, but was quickly suppressed by the short side. In the short term, the price of Bitcoin shows signs of rebounding, but before the signal is confirmed, do not blindly buy at the bottom.
Looking at the daily chart, the bullish pattern of the moving average system (5, 10, 20) has not been destroyed, the green column area of ​​the MACD indicator is shrinking, and the stochastic indicator and the strength index are both extending to the oversold area, indicating that the short-selling momentum is still strong, and blind bottom-fishing should not be avoided. In addition, the middle track of the Bollinger Band and the MA20 support are still effective support levels. The focus of the market outlook is whether this support level can be effectively broken.
Looking at the 4-hour chart, the bullish pattern of the moving average system has been destroyed, showing a bearish arrangement pattern, and the MACD indicator has a tendency to cross the zero axis, indicating that the price of this level of currency is relatively weak. Both the stochastic indicator and the strength index have dropped to the oversold zone, and as of press time, the price of this level of currency has stopped falling above MA60 in a cross star pattern, so pay attention to the multi-party test.
Overall, although the price of the currency is still in the bull market channel, it is undergoing a mid-level adjustment, and there is uncertainty about the future evolution. Therefore, it is not recommended for investors to blindly buy the bottom with heavy positions. However, pay attention to the effectiveness of the MA60 support level on the 4-hour chart. If it does not effectively fall below, you can participate in the short-term with a light position.

2. Newcomer Index <br/>The figure shows the 12-hour newcomer index