In this episode of NewsBTC’s daily technical analysis videos, we flip the Bitcoin price chart upside down to get a unique perspective on the market.
Check out the video:
VIDEO: Bitcoin Price Analysis (BTCUSD), October 27, 2022
An Inverted Chart of Bitcoin Prices Could Signify That There Is A Bear Market
Inverting an asset’s chart can be a great way to clear up confusion and remove any bias. This perspective makes BTCUSD look like it is a retesting of horizontal support that has become resistance. A downtrend line is being broken. Remember, it’s all upside-down.
The diagonal downtrend resistance is still intact for longer timeframes. We can also clearly see very similar price action across the last major “top” which is actually the 2018 bear market bottom. Is Bitcoin still bearish if you turn things around?
The frown can be turned upside down by Bitcoin bulls | Source: BTCUSD on TradingView.com
Read Related Article: Are Bitcoin Bulls Ready to StampedeBTCUSD Analysis Oct 25, 2022 | BTCUSD Analysis October 25, 2022
BTCUSD Weekly RSI Buying Signal Days Away from Confirming
The weekly Relative Strength Index may also be a buy signal. This one is particularly important, as this is how the tool’s creator intended it to work. After reaching oversold levels and holding the territory above on a subsequent bounce, the buy signal is created when the RSI makes a higher high.
BTCUSD Weekly is working to break out of the downtrend RSI resistance at the same time. We can clearly see the exact buy signal responsible for each Bitcoin bottom in past weeks. It is also clear that there is a rhythm for when every downtrend ends.
The End of The Dollar Rally could Conclude Crypto Winter
If the RSI weekly signal was a buy signal, we will now see a sell signal for the RSI weekly via the DXY. The Dollar Currency Index sell signal is breaking down at a diagonal RSI Support line and its continuing parabola.
If we compare the DXY to Bitcoin charts side by side, you can clearly see there are opposing signals. For more information and comparisons, watch the video.