Bitcoin price started a major downside correction after it traded as high as ,954 against the US Dollar.The price is currently trading near a major support area at ,000, which holds the key.There is a major bullish trend line forming with support near ,000 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).The pair remains well supported on dips near the ,000 and ,800, below which it could gain bearish momentum.Bitcoin price is struggling to bounce back above ,500 against the US Dollar. BTC must stay above ,000 and ,800 to bounce back in the coming sessions.Bitcoin Price AnalysisThis past week, bitcoin price climbed higher above the ,800 level against the US Dollar. The BTC/USD pair even traded close to the ,000 level. However, it failed to
Topics:
Aayush Jindal considers the following as important: Bitcoin, Bitcoin News, BTC, News, Trading
This could be interesting, too:
Bilal Hassan writes Morocco to Become First Developing Country with Clear Crypto Regulations
Bilal Hassan writes Ohio Considers Bitcoin Reserve with New Legislation
Bilal Hassan writes Metaplanet Raises 9.5 Billion Yen to Boost Bitcoin Reserves
Bilal Hassan writes Cryptopia Liquidators Distribute 0 Million to Victims of 2019 Hack
- Bitcoin price started a major downside correction after it traded as high as $10,954 against the US Dollar.
- The price is currently trading near a major support area at $10,000, which holds the key.
- There is a major bullish trend line forming with support near $10,000 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
- The pair remains well supported on dips near the $10,000 and $9,800, below which it could gain bearish momentum.
Bitcoin price is struggling to bounce back above $10,500 against the US Dollar. BTC must stay above $10,000 and $9,800 to bounce back in the coming sessions.
Bitcoin Price Analysis
This past week, bitcoin price climbed higher above the $10,800 level against the US Dollar. The BTC/USD pair even traded close to the $11,000 level. However, it failed to continue higher and topped near the $10,954 level. Recently, there was a fresh decline below the key $10,500 support area. It opened the doors for more downsides below the $10,400 level. Moreover, there was a close below $10,400 and the 55 simple moving average (4-hours).
During the decline, the price broke the 50% Fib retracement level of the last major upward move from the $9,331 low to $10,954 high. The decline was such that the price even broke the $10,000 support area. However, the $9,950 level is acting as a support. Moreover, the 61.8% Fib retracement level of the last major upward move from the $9,331 low to $10,954 high is also acting as a support.
On the downside, there is a major bullish trend line forming with support near $10,000 on the 4-hours chart of the BTC/USD pair. If there is a downside break below $10,000 and the trend line, there could be more losses. An immediate support is near the $9,800 level plus the 76.4% Fib retracement level of the last major upward move from the $9,331 low to $10,954 high.
If there is a close below the $9,800 support, bitcoin price could accelerate its decline. In the mentioned bearish case, the price could continue to slide towards the $9,500 level. The next major support is near the $9,400 level and the last swing low. On the upside, an immediate resistance is near the $10,300 level. However, the main support is near the $10,400 level and the 55 SMA.
Looking at the chart, bitcoin price is clearly trading near a crucial support area at $10,000. If there is a downside break below $9,800, the price could decline heavily. If not, it could bounce back above $10,400.
Technical indicators
4 hour MACD – The MACD is currently gaining pace in the bearish zone.
4 hour RSI (Relative Strength Index) – The RSI is currently well below the 45 level.
Key Support Levels – $10,000 and $9,800.
Key Resistance Levels – $10,300, $10,400 and $10,500.