Ren price analysis reveals that the Ren/Bitcoin (BTC) pair have had uncertain price action for the past couple of weeks as short rallies of bulls and bears continued to take place. Now the price is moving to a new direction.
The pair has developed a bullish outlook across the four-hour time frames, and the price has risen above its 200-period moving average.
The frames also show that the bulls are trying to invalidate a head and shoulders pattern to set-up the next bullish rally. Meanwhile, technical indicators have also switched bullish and have started indicating buy signals.
However, if the attempt at invalidating the large inverted head shoulders pattern fails, prices will plunge rapidly.
Although it is unlikely as the Relative Strength Index (RSI) has started to return from overbought territory. Moreover, the moving average convergence/divergence is also bullish, and issuing a strong buy signal.
Across the daily-frames, the pair is trading with a bullish bias as the price bounces back from the technical support.
The charts also show that the price action will soon break out of the current pattern. The price is rising above the neckline of the large inverted head and shoulders pattern. Technical indicators are unclear and not issuing any specific signals.
If the price follows along the inverted head and shoulders pattern, the price action will take Ren/BTC pair to new all-time highs.
This is highly possible with the RSI bullish with potential for a further bullish trend. The MACD remains uncertain and is issuing no specific signal.
Ren/BTC pair is trying to build bullish momentum as prices could soon see new all-time highs with the large inverted head and shoulders pattern. The only obstacle between Ren price and all-time highs is the smaller bearish head and shoulders pattern that needs to be overcome before bulls rally.