Bitcoin Price May Slide Back to $6,000 If Support Is Broken
While we all want a bull rally, the bitcoin price can’t cross the congestion area between $6,500 and $7,500 USD. To do that, we need an external factor to drive it up — without that push, we will start falling towards $6,000 again.
Subscribe to the Bitsonline YouTube channel for great videos featuring industry insiders & experts
Bitcoin Price Technical Analysis
Bullish consensus doesn’t currently back any uptrend possibilities, and quotes are going down to retest the $6,000 support.
Prices have failed in the attempt to move upwards to the previously expected levels between $8,000 and $10,000. Therefore, the congestion area between $6,500 and $7,500 seems to be under distributors’ dominance.
According to Mass Psychology Analysis, the Disbelief phase should last for another two weeks, delaying the Hope phase to December when and if $6,000 contains the bearish correction.
According to mathematical indicators, the upward trend is off, and first intermediate reaction can be expected between $6,100 and $5,800.
Prices have failed several times when they tried to march into the congestion area between $6,500 and $7,500. That negative record will probably turn bullish consensus sentiment into a wait-and-see defending attitude among operators.
If values break down at the current lateral market below $6,000, the next support can be settled at $4,500.
Sideways movement currently dominates the charts, with a resistance near $6,800 and a support level at $6,000.
Japanese Candlestick Analysis reflects a fall to $6,000 support again, where Soldiers have a reinforcing area.
Offer’s Crows seem to be too strong for demand´s Soldiers, which should retreat rather than face them on the 1000-point battlefield between $6,500 to $7,500.
What do you think will happen to the bitcoin price? Share your predictions in the comments section
If you find Ramiro’s analyses interesting or helpful, you can find out more about how he comes to his conclusions by checking out his primer book, the Manual de Análisis Técnico Aplicado a los Mercados Bursátiles. The text covers the whole range of technical analysis concepts, from introductory to advanced and everything in between. To order, send an email to [email protected]
Image via Huffington Post
This technical analysis is meant for informational purposes only. Bitsonline is not responsible for any gains or losses incurred while trading bitcoin.