Bitcoin Price Analysis: Bitcoin Rolls Back Under $7000 Following 5.2% Losses Overnight

Bitcoin Price Analysis: Bitcoin Rolls Back Under $7000 Following 5.2% Losses Overnight

• The price is approaching $6700 support, but Bitcoin could bounce back if the level holds
• To reactive bullish actions, Bitcoin would need to retake $7450 resistance level

Bitcoin finally made the big move as mentioned in our previous crypto trading signal. This time, it was a heavy drop beneath the $7000 level. After losing 5.2% overnight, Bitcoin is now trading at $6945 against the US Dollar. The selling pressure is not finished yet as more can be expected in the coming hours.

Key resistance levels: $7450, $7600
Key support levels: $6700, $6400

Bitcoin (BTC) Price Analysis: Daily Chart – Bearish

The $7450 resistance has acted strong for the past three days now. The huge supply around this price area has forced Bitcoin to lose momentum. As can be seen on the daily chart, Bitcoin is now trading below $7000. Although BTC is trying to find support on the white rising trend line.

BTCUSD, Daily Chart – April 10

However, if the current daily bar manages to close below this white line, the selling pressure might get uglier for Bitcoin as the closest support to watch is $6700. Below this support lies $6400 and $6000. If all these supports fail to hold, Bitcoin may retest $5880 – a major rebound level in late March. On the upside, Bitcoin needs to reclaim $7000 and $7450 resistance before we can validate a fresh increase to $8000 resistance, marked red on the price chart.

Bitcoin (BTC) Price Analysis: 4H Chart – Bearish

Bitcoin is technically looking bearish on the 4-hours chart. The latest price drop was led by a lot of rejection from the $7450 resistance. We can see that the price broke down the white parallel rising trend line. Following this breakdown, Bitcoin is currently approaching key support of $6700; although a rebound is likely if the support can hold.

BTCUSD, 4H Chart – April 10

If $6700 holds in the grey box, Bitcoin is likely to recover back to $7000 and perhaps $7200 on the upside. A further climb to $7450 resistance could give buyers an advantage to resume pressure. A new high may come around $7600. On the other hand, Bitcoin could find support at $6400 and $6170 in case the $6700 support breaks.

Note: Learn2Trade.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results

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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.