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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Bitcoin (BTC) Price Sighting Downside Thrust Before Higher?

Aayush Jindal
Aayush Jindal
5 years ago
2 mins read
Bitcoin price BTC decline

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  • Bitcoin price is struggling to recover above $8,800 and $8,840 against the US Dollar.
  • The price is slowly moving lower and it is likely to decline sharply below $8,600.
  • Morning’s bearish trend line is active with resistance near $8,775 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • It seems like there could be a nasty decline below $8,600 before the price starts a decent recovery.

Bitcoin price is still trading in a downtrend below $8,800 against the US Dollar. BTC needs to settle above the $8,920 and the 100 hourly SMA to start a recovery.

Bitcoin Price Analysis

In morning, we saw an upside correction in bitcoin from the $8,560 swing low against the US Dollar. However, BTC faced a strong resistance near the $8,800 level and the 100 hourly simple moving average.

There was another decline below the $8,750 level. Moreover, the price broke the 23.6% Fib retracement level of the upward move from the $8,560 low to $8,839 high. The price even broke the $8,720 level, but it stayed above the $8,700 level.

It seems like the 50% Fib retracement level of the upward move from the $8,560 low to $8,839 high is acting as a support. Recently, bitcoin price made another attempt to clear the $8,800 resistance and the 100 hourly simple moving average, but it failed.

More importantly, morning’s bearish trend line is active with resistance near $8,775 on the hourly chart of the BTC/USD pair. The pair is once again declining and is trading below the $8,750 level.

If the price fails to stay above the $8,700 level, it could continue to move down. The next support is near the $8,640 level. It represents the 61.8% Fib retracement level of the upward move from the $8,560 low to $8,839 high.

It seems like bitcoin is setting up for a downward spike below the $8,600 support area. Additionally, it could even spike below the $8,500 support area before the bulls take a stand.

Conversely, the price is likely to struggle near many resistances, starting with $8,800. The main resistance is near $8,900 and another important bearish trend line on the same chart. For that reason, a close above $8,920 is needed for a decent recovery.

Bitcoin Price
Bitcoin Price

Looking at the chart, bitcoin is clearly declining and it could soon dive below the $8,650 and $8,600 level. Once the current wave is complete, the price might recover above $8,850 and $9,000.

Technical indicators:

Hourly MACD – The MACD is slowly moving in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is sliding and it is well below the 50 level.

Major Support Levels – $8,640 followed by $8,600.

Major Resistance Levels – $8,800, $8,850 and $8,920.

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Aayush Jindal
Aayush Jindal

Aayush Jindal

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

Read more

From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

In addition to his roles in finance and technology, Aayush serves as the director of a prestigious IT company, where he spearheads initiatives aimed at driving digital innovation and transformation. Under his visionary leadership, the company has flourished, cementing its position as a leader in the tech industry and paving the way for groundbreaking advancements in software development and IT solutions.

Despite his demanding professional commitments, Aayush is a firm believer in the importance of work-life balance. An avid traveler and adventurer, he finds solace in exploring new destinations, immersing himself in different cultures, and forging lasting memories along the way. Whether he's trekking through the Himalayas, diving in the azure waters of the Maldives, or experiencing the vibrant energy of bustling metropolises, Aayush embraces every opportunity to broaden his horizons and create unforgettable experiences.

Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

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Reason to trust

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Created by industry experts and meticulously reviewed
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How Our News is Made

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