13:26Bitcoin on the cusp of a paralyzing breakdown to $16,200 if this crucial support is lost
At the time of writing, the flagship cryptocurrency is trading beneath $18,000 as overhead pressure intensifies. The bulls seem to be treading on shaky ground, or perhaps at the edge of a high cliff.
The descending parallel channel discussed on Thursday is still intact but the lower boundary is currently under duress. If broken, BTC/USD will be forced to seek refuge at the 200 Simple Moving Average on the 4-hour chart.
If push comes to shove and declines fall under the crucial moving average, we can anticipate a massive breakdown heading to $16,500 (late November support). Currently, the least resistance path is to the south, mainly supported by the Relative Strength Index.
On the upside, Bitcoin’s movement is limited by the channel’s middle boundary in conjunction with the 100 SMA. Consequently, closing the day under $18,000 would an enormous bearish signal, strong enough to trigger massive sell orders.
It is essential to have it in mind that the bearish outlook will fail to materialize if Bitcoin holds the anchors at the 200 SMA and the lower boundary of the channel. On the upside, ending the day above $18,000 will stress to the buyers that Bitcoin still has the momentum to hit higher levels beyond $19,000.
Bitcoin intraday levels
Percentage change: -1.7%
|Total comments: 0|
|Ethereum price inches closer to a new all-time high as Bitcoin consolidates (0)|
|Bitcoin Becomes Most-Crowded Trade After Passing ‘Long Tech’: Bank of America Survey (0)|
|Looking for something on which to spend all that bonus Bitcoin? How about The Hoff's very own KITT? (0)|
|Ruffer Investment explains decision to purchase Bitcoin (0)|
|Grayscale holds the key to Bitcoin hitting $40K, says JPMorgan (0)|
|ETHEREUM HITS THREE-YEAR HIGH AS BITCOIN VOLATILITY DIMS; RECORD HIGHS AHEAD? (0)|
|Four of the top 70 crypto assets by market cap are Bitcoin (0)|
|IS IT TIME TO BE BEARISH ON BITCOIN RIGHT NOW? (0)|
|'Pay attention' — Grayscale adds 18x the Bitcoin mined supply in one day (0)|
|Bible quotation found in Bitcoin block number 666,666 (0)|