Bitcoin price analysis: BTC/USD recovery hampered under $8,400, $8,000 support remains vulnerable
|- Bitcoin short-term has a bearish bias likely to retest $8,000 support area.
- BTC/USD bullish potential remains very high with the formation of a falling wedge pattern.
The market is retreating fast after most of the major cryptocurrencies failed to break past critical hurdles. Bitcoin, for instance, took the bullish action above $8,000 but failed to sustain gains above $8,300. The critical hurdle at $8,400 was not untested leaving a wide gap to be explored by the sellers.
Bitcoin is trading at $8,183 at press time after suffering a 0.36% subtle loss due to the ongoing retreat. The relative strength index (RSI) is still within the overbought but pointing downwards as a signal for an impending reversal. The moving average convergence divergence in the daily range is stuck inside the negative region. However, a slightly visible divergence suggests that the bulls still have the energy to defend key support areas.
Bitcoin has a bearish bias in the short-term but in the long-term the trend has a huge bullish potential. The long-term forming falling wedge patter is likely to give way for a significant reversal above $9,000.
BTC/USD daily chart
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