BTC/USD, BTC.D (Bitcoin Dominance), DXY (US Dollar Index): Technical Outlook, Edition #33 (26/06/21)

Recovery in USD strength spells a further bloodbath across asset markets. Will Bitcoin bears claim victory over this year's bullish gains? Find out more and see our chart forecasts in this edition

Bitcoin falters as bulls fail to clutch on to crucial support

Bitcoin lost the H4 20 EMA (GREEN, Exponential Moving Average), which it had been riding as support. 

Now, let's get straight to it and begin with charts.

Q's Forecast: Bitcoin, BTC Dominance

Bitcoin, BTC/USD - 4 Hour (H4)

In addition to losing bullish support, our micro 0.5 Fibonacci retracement zone (approx. USD 34,899) unveiled a bears' ambush around USD 35K.

We can consider this as confirmation that the recent bounce from USD 29K was, in fact, a bear flag.

While bears triumph in repelling a flip of the D1 20 EMA (GREEN), our bulls must now swallow a costly defeat and endure this as a clear sign that sellers are still in command. 

Bitcoin, BTC/USD - Daily (D1)

Price action on BTC/USD is very bearish now, and time is running out for the bulls.

If buyers cannot defend USD 27K, then bears will welcome a shot at taking out all positive gains for the year. 

Bitcoin dominance, BTC.D - Daily (D1)

Bitcoin Dominance has formed a bullish Adam & Eve reversal and is well on track for sucking in over 50% of the cryptocurrency market cap. 

Should the BTC/USD pair continue to fall, price action also infers altcoins will suffer more than Bitcoin. 

Q’s Conclusion

On a closing note, the $DXY (US Dollar Strength) appears bullish as it tries to flip the D1 200 MA (BLUE, Moving Average). 

A resurgence in dollar strength implies yet another bloodbath for other markets.

We've put the spotlight on attempts to confirm a USD bullish reversal on the chart below.

US Dollar Currency Index, $DXY - Daily (D1) 

See you again for the next update.

- q

Leave a comment

Follow us for more detailed analysis on all markets, including Decentralised technology. Check out the links below

Subscribe to our newsletter, with daily content free for a limited time only:

Join our Facebook group and speak with likeminded traders:

Like our Facebook page for future updates:

Follow us on LinkedIn for future updates:

Keep up with us on Twitter:

Share Qluster Research

The information on this website is for general information purposes only. It is not intended as legal, financial and/or investment advice and should not be construed and/or relied on as such. Before making any commitment of a legal and/or financial nature you should seek advice from a qualified and registered legal practitioner and/or financial and/or investment adviser. No material contained within this website should be construed or relied upon as providing recommendations in relation to any legal and/or financial product. Qluster does not recommend and/or endorse products and does not receive remuneration based upon investment and/or other decisions