Bitcoin price analysis: BTC/USD bull rally loses momentum above $8,400
|- Bitcoin upside is currently restricted at the 61.8% Fib retracement level.
- Technical indicators show that the path of least resistance is to the downside until a support is found.
Bitcoin upward trajectory has surprised many in the cryptocurrency industry. The bullish trend smashed through the critical yet coveted resistance at $8,000. Furthermore, it has exchanged hands above $8,400. Although BTC/USD has declined on Friday morning and is currently trading slightly below $8,250, FXStreet’s Yohay Elam in his latest price analysis places the next target for Bitcoin at $8,663. He also notes that the Bull Run is continuing in spite of the delay in the approval Bitcoin ETF.
Bitcoin upside is currently restricted at the 61.8% Fib retracement level taken between the highs of $8,480.70 and $7.967.06 lows at $8,283.98. Moreover, the 2-hour 100 Simple Moving Average at $8,349.99 will limit upside movement above the next short-term resistance target at $8,300. Similarly, technical indicators show that the path of least resistance is to the downside at the time of press. The MACD momentum indicator is dipping further into the negative territory, besides a broader look at the chart shows that there is selling bear pressure rising.
On the downside, the trendline which coincides with the 50% Fib level with the last high leg of $8,480.70 and a lower leg of $8,283.98 will stop the currently slide slightly above $8,220. Significantly, there are more support areas highlighted by the Fibonacci levels above $8,000.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.