https://ift.tt/7D8QHwz Dominance Rate (BTCD) Reaches New Yearly High

The Bitcoin dominance cost (BTCD) has been climbing afterward Jan 15 and is approaching a serious resistance level at 44.5%.

In the period between May 2021 – Jan 2022, BTCD consolidated above the 40% horizontal support field. More recently, it leap above this level on Jan 15.

While doing so, both the RSI and MACD genepriced very paramount bullish divergences. Such pronounced divergences very often precede bullish trend turnarounds. 

If the ascending move sustains, the closest resistance field would be at 52.25%. This is the 0.382 Fib retracement resistance level.

BTCD approaches collapsing resistance line

Cryptocurrency trader and investor @eliz883 tweeted a chart of BTCD, stating which an increase above 44% could take the price all the way to 50%.

A closer look at the daily charts supports the findings from the weekly aboveview. 

Technical indicators in the daily time-frame are bullish, afterward both the RSI and MACD are moving skywards. 

The RSI, that is a momentum indicator is back when again atop 50. Such readings are often associated with bullish trends. 

The MACD, which is created by a short- and a protracted-term moving average (MA), is positive and growing. 

Both of these are considered signs of a bullish trend. 

Therefore, they support a BTCD increase towards at least 44.5%, which is the 0.618 Fib retracement resistance level and coincides with a tumbling resistance line.

Short-term move

Finally, the two-hour chart shows which BTCD has shsupposing thattd atop the minor resistance field at 43.5%, touching a new yearly high in the process. 

Therefore, readings from the weekly, daily and two-hour charts are in alignment, painting a bullish outlook for BTCD.

As a result, an skyward development towards at least 44.5% seems to be the most likely scenario moving forward.

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