Bitcoin Price levels have dropped $2,000 within the last 48 hours as bears begin to shake the current bullish market sentiment. Continuation of the pull-back to key support around $8,800 is likely over the coming days.
Bitcoin 30-Minute Price Analysis
On the 1 hour chart for XBT/USD, we can see the 200 EMA heading towards the 50 MA in a bearish fashion. It’s likely a bearish MA cross will occur over the coming 24-48 hours whilst price action goes into a short-term period of consolidation ahead of another drop. Another drop will create a lower low completing the descending channel on the daily. Three lower lows and three lower highs will be completed on the daily timeframe. Typically, descending channels that form as a result of a sharp up-trend are inherently bullish.
Key support levels to look out for if price levels continue downwards to create the third lower low as discussed as $9,130, $8,800 and finally $8,100. It’s important to note that if the final support at $8,100 is broken, the overall short-term sentiment will be no longer bullish and traders will likely be put-off entering into any long positions.
Do you think BTC will create a lower low in the coming weeks? Please leave your thoughts in the comments below!
This article is strictly for educational purposes and should not be construed as financial advice.
Images via Shutterstock, XBT/USD trading charts by Tradingview
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