Bitcoin (BTC) Breakdown Below $7K Looms, Can Bulls Bounce Back? @newsbtc #Analysis #Technical #bitcoin #btc

• Bitcoin price is trading in a bearish zone below the $7,200 resistance against the US Dollar.
• The price is currently struggling to stay above the $7,000 support area.
• There is a connecting bearis...
  • Bitcoin price is trading in a bearish zone below the $7,200 resistance against the US Dollar.
  • The price is currently struggling to stay above the $7,000 support area.
  • There is a connecting bearish trend line forming with resistance near $7,120 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair is likely to face a lot of hurdles near $7,120, $7,160 and $7,200.

  Bitcoin price is struggling to recover above $7,200 against the US Dollar. Therefore, BTC remains at a risk of a larger breakdown below the $7,000 support.

  Bitcoin Price Analysis

  Recently, bitcoin extended its decline below the $7,080 support area against the US Dollar. Moreover, BTC price settled below $7,200 and the 100 hourly simple moving average.

  Finally, it tested the $7,000 support and formed a new monthly low at $7,008. It is currently consolidating losses above the $7,000 and $7,020 levels. The recent low is $7,032 and an initial resistance is near the $7,080 level.

  Besides, the 23.6% Fib retracement level of the downward move from the $7,204 high to $7,008 low is also near the $7,072 level. The first key resistance for bitcoin price is near the $7,120 level.

  Additionally, there is a connecting bearish trend line forming with resistance near $7,120 on the hourly chart of the BTC/USD pair. The 50% Fib retracement level of the downward move from the $7,204 high to $7,008 low is also near the $7,118 level.

  Thus, a clear break above the trend line and $7,120 is needed for a decent recovery. The next hurdles are seen near the $7,160 and $7,180 levels. More importantly, an upside break and close above $7,200 is must to start a substantial recovery.

  On the downside, an initial support is near the $7,030 level. The main support is near the $7,000 level. If there is a successful break and close below $7,000, the bears are likely to gain strength.

  In the mentioned case, the price is likely to accelerate below $7,000 and $6,900. An immediate support is near $6,800, below which the gates could open for a test of the $6,500 support area.

  

  Bitcoin Price

  Looking at the chart, bitcoin price is clearly trading in a downtrend below $7,160 and $7,200. As long as there is no daily close above $7,200, there are high chances of another breakdown below the $7,000 support area.

  Technical indicators:

  Hourly MACD – The MACD is currently gaining strength in the bearish zone.

  Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is declining and it is approaching the 30 level.

  Major Support Levels – $7,030 followed by $7,000.

  Major Resistance Levels – $7,120, $7,160 and $7,200.

  The post Bitcoin (BTC) Breakdown Below $7K Looms, Can Bulls Bounce Back? appeared first on NewsBTC.

  
  
  source https://www.tokentalk.co/NewsBTC/bitcoin-btc-breakdown-below-7k-looms-can-bulls-bounce-back-5df71b809b1d5a2d021e2930