Bitcoin Market Watch: Will BTC Price return to its previous low?

Bitcoin Market Watch: Will BTC Price return to its previous low?

BTCUSD Medium-term Trend: Bearish

Resistance levels: $3,882, $4,053, $4,249                                            

Support levels: $3,649, $3,407, $3,208

The cryptocurrency was bullish on the medium-term outlook last week. The bulls were in control of the BTC market last week as the crypto was making higher highs on the 4-Hour chart. On December 21 the coin topped at the high of $4,249, the bears defended the level and a bearish Doji candle formed that made the coin to fell back below $4,053 level where it found support at the dynamic support level of 21-day EMA.  The bulls gradually returned the coin to the previous high. It seems the resistance level of $4,249 is significant as the coin returns when it reaches the point.

Yesterday, evening star candle pattern formed at the $4,249 price level, as it is a reversal candle pattern the bears drove the BTC price down by breaking down the $4,053 and $3,882 price levels including the two EMAs were broken downside. The coin is currently below the two EMAs on the resistance level of $3,882 which indicates that the bears are taking over the BTC market gradually.

The crossing down of 21-day EMA over 25-day EMA confirm the bearish trend, the former is bending towards the later. The MACD and its histogram are below zero levels with the signal lines pointing towards the south connote the sell signal.

BTCUSD Short-term Trend: Bearish

BTC/USD is on the bearish trend on the short-term outlook. On December 22 – 23 BTC was in a sideways movement until the massive bullish candle broke up the resistance level of $ 4,249, consolidated for some hours before a bearish engulfing candle formed which is an indication of bears momentum which pushed the coin to the previous low of $3,889.

The 21-day EMA has already crossed the 50-day EMA downside with the coin trading below the two EMAs which connotes sell signal and high bearish momentum. It is likely that the coin may have its support at the low of $3,649 in case the bears do not lose its momentum.    

The post Bitcoin Market Watch: Will BTC Price return to its previous low? appeared first on ZyCrypto.

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