Bitcoin (BTC) Price Analysis – Bitcoin Flags Bearish But Short-Term Bullish Still Valid Above $7k

Bitcoin (BTC) Price Analysis – Bitcoin Flags Bearish But Short-Term Bullish Still Valid Above $7k

In our previous crypto trading signals, we mentioned possible moves for Bitcoin’s price action. Leaving the weekly bullish rally, Bitcoin’s bear gained control of the market over the last 24-hours hours and as such, the price has dropped below the rising wedge that was spotted on the hourly chart. This suggests that short-term bullish may come to an end if the price drops below $7000. For now, BTC is priced at $73700, deciding on the next move.

Bitcoin (BTC) Price Analysis: Hourly Chart – Bearish

Key resistance levels: $7500, $7600, $7700
Key support levels: $7300, $7200, $7100

Yesterday, Bitcoin broke the ascending wedge pattern to the downside, touching $7200 earlier today. The latest increase has brought a small retracement move towards $7500 resistance, although roaming around $7300 at the moment. We can expect selling to resume shortly after a decent retest.

BTCUSD, Hourly Chart – December 24

If the price further grows, BTC may revisit $7600. Meanwhile, a downward correction is more likely to play out to $7300, $7200 and $7100 subsequently. Looking at the hourly MACD indicator, Bitcoin is flagging a bearish momentum.

The market has recently managed to find support on the RSI 30 level. BTC is expected to bounce back if the price can continue remains above RSI 30 level. Despite that ongoing drop, the short-term bullish bias is still valid in the hourly chart as long as $7000 support holds.

Bitcoin (BTC) Price Analysis: 15M Chart – Bearish

Bitcoin is playing bearish on the 15-minutes time frame. Yesterday, BTC violently broke out to $7700 but the price could not hold as this price levels, rolling back in the descending channel. After dropping to $7200 today, Bitcoin is now pulling back towards the channel’s resistance at $7500.

BTCUSD, 15M Chart – December 24

A break will allow further buy to $7600 and $7700 resistance. Currently, Bitcoin held support at $7300 and $7200. A downward surge may slide the price to $7100 and below. As of now, the technical indicators are recovering back toward the bullish zone, though it’s yet to confirm.

BITCOIN BUY SIGNAL

Buy Entry: $7350
TP: $7497
SL: $7150

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Author : Michael Fasogbon

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Michael Fasogbon is a professional Forex trader and cryptocurrency technical analyst with over five years of trading experience. Years back, he became passionate about blockchain technology and cryptocurrency through his sister and has since been following the market wave.