- Bitcoin bullish trend turned bearish on failure to sustain above $6,600 trimming gains towards $6,200 support.
- BTC/USD chart outlook is negative for the near-term; technical indicators showing bearish signals.
Bitcoin is walloped by selling pressure below on Tuesday. The rising wedge pattern support spotted during the analysis yesterday was broken triggering more breakdown below the short-term support at $6,400 and the critical $6,300 support. BTC/USD has had a considerably successful week’s trading after the recovery from the pits below $6,000 commenced on the same day last week.
The selling pressure has, however, capped the gains marginally above $6,600. The price keeps losing momentum at this level, besides I termed this level as Bitcoin price hard cap on the upside in the analysis published yesterday. The pivotal $6,500 gave in to selling pressure at the opening of the trading session the previous day. Moreover, the 100-day hourly moving average also failed to stop the declines but will now offer resistance to the upside at the broken trendline support.
Bitcoin is likely to continue correcting lower in the near-term. Similarly, technical indicators continue to send negative signals. For instance, the MACD is in the negative territory and still advancing south, the stochastic had recovered slightly from the oversold but has changed direction downwards again.
The 23.6% Fib level with a high of $7,148.96 and a low of $5,941.5 at $6,200 is a strong vital support to the buyers and must not be broken to prevent more break down heading to $6,100 and $6,000. Bitcoin is trading at $6,288, but the buyers must battle to push to price above $6,300 and preferably find a support here. This will allow them to curve a trajectory to $6,400 resistance and eventually $6,500 in the medium-term.
BTC/USD hourly chart
Get 24/7 Crypto updates in our social media channels: Give us a follow at @FXSCrypto and our FXStreet Crypto Trading Telegram channel
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
IRS says crypto staking should be taxed in response to lawsuit
The IRS stated that rewards from cryptocurrency staking are taxable upon receipt, according to a Bloomberg report on Monday, which stated the agency rejected a legal argument that sought to delay taxation until such rewards are sold or exchanged.
Solana dominates Bitcoin, Ethereum in price performance and trading volume: Glassnode
Solana is up 6% on Monday following a Glassnode report indicating that SOL has seen more capital increase than Bitcoin and Ethereum. Despite the large gains suggesting a relatively heated market, SOL could still stretch its growth before establishing a top for the cycle.
Ethereum Price Forecast: ETH risks a decline to $3,000 as investors realize increased profits and losses
Ethereum is up 4% on Monday despite increased selling pressure across long-term and short-term holders in the past two days. If whales fail to maintain their recent buy-the-dip attitude, ETH risks a decline below $3,000.
Crypto Today: BTC hits new Trump-era low as Chainlink, HBAR and AAVE lead market recovery
The global cryptocurrency market cap shrank by $500 billion after the Federal Reserve's hawkish statements on December 17. Amid the market crash, Bitcoin price declined 7.2% last week, recording its first weekly timeframe loss since Donald Trump’s re-election.
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy
Bitcoin price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot ETFs in January and the reduced supply following the fourth halving event in April.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.