Bitcoin Price Analysis (BTC) – 17 July
The price of Bitcoin has fallen by about 15% and has exceeded the level of $9,500 against the US dollar. BTC is likely to suffer more losses and it looks like the downside target of $8,500 is still in sight.
BTC/USD Long-term Trend: Bearish (Daily Chart)
Levels of supply: $13,000, $13,500 $14,000
Levels of Demand: $6,500, $6,000, $5,500
This week, we saw a significant drop in the price of Bitcoin, lower than the $10,500 support against the US dollar. The BTC/USD pair found support close to $9,800 and corrected higher yesterday. It climbed above the $10,500 level but struggled to gain ground above the $11,000 level. A peak was formed near the $11,100 level and the 21-day moving average.
However, as a result, the price of Bitcoin began to fall further below the support level of $10,500 at the lower limit of the Bollinger Bands. The decline was such that the price exceeded support levels of $10,000 and $9,500. It is currently consolidating above $9,700 and could fix higher. In addition, the main resistance is at $13,000, $13,500 and $14,000.
Conversely, if there is no recovery above $10,000, the price could continue to fall to support levels of $6,500, $6,000 and $5,500 while the RSI (14) is likely to correct higher towards the 40-level.
BTC/USD Medium-term Trend: Bearish (4H Chart)
If you look at the 4-hour chart, the Bitcoin price is still under $10,500 and could continue to weaken if the price continues to fall below the 21-day moving average. However, once the current correction is completed, it may likely reach $9,000 or $8,500, the price could allow a decent recovery.
Similarly, the MACD chart shows a downward price momentum, as it is in the bearish zone and the signal line is above the MACD line while the RSI is moving the price above the 40-level. The BTC/USD may experience further resistance of $11,000 if it raises the much-needed price recovery above $10,500. Its support level can be $8,500 and $8,000.
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