Bitcoin rallies to its 200-day simple moving average. Here’s how to redeem it now.

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(Photo by S3studio)

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Bitcoin (BTC) traded above its 200-day simple moving average at 44,847 on Sunday August 8. The weekly BTC chart has been positive since the week of August 1. If Bitcoin can stay above its 200 days, its risk level is 63,863. Otherwise, the downside risk is on its half-yearly and quarterly pivots at 35,643 and 32,803.

Since its June 22 low of 28,800, BTC is up 55.7% from its 200-day SMA. Its intraday high of 64,899 was set during the week of April 18, 2021.

The daily chart for Bitcoin

Daily chart for Bitcoin. Courtesy of Refinitiv Xenith.

Refinitive

Bitcoin confirmed a death cross on June 20 when its 50-day simple moving average fell below its 200-day simple moving average. He has been above his 50-day SMA since July 26 and tested his 200-day SMA at 44,845 on August 8. His 50-day SMA is now up to 35,204.

Bitcoin is well above its annual value level, which is the lowest horizontal line at 18,830. Its monthly risk level is not attainable at the highest horizontal line at 63,863. If bitcoin remains below its 200-day SMA, the decline reverts to its half-yearly and quarterly pivots at 35,643 and 32,802.

The weekly chart for Bitcoin

Weekly chart for Bitcoin. Courtesy of Refinitiv Xenith.

Refinitive

Bitcoin’s weekly chart is positive with BTC above its modified five-week moving average at 38,620. That’s well above its 200-week simple moving average or reversion to the average at 14,317. Its 12x3x3 weekly slow stochastic reading increases to 28.45. It was oversold during the week of July 25.

Trading Strategy: Buy bitcoin when weak up to its semi-annual and quarterly pivots at 35,643 and 32,803 and reduce strength holdings to its monthly risk level of 63,863.

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