ForexMinute.com — Cryptocurrency market is currently going through a rough time, with Bitcoin and other altcoins falling after a long stable pause. Surprisingly, only Darkcoin has showed some growths in these tough times, leaving Litecoin, Dogecoin and other competitive coins behind.
BTC/USD 4H BitFinex
A notable drop after a long and steady sideways movement is not a thing new to Bitcoin charts. The patterns have been therefore repeated again in last 24 hours where BTC/USD fell sharply from 239 to 215. At the same time, lets not forget that price is still trading between a consolidation range — 210-248 area. It deepens the chance of yet another pullback towards prevailing resistance levels.
The technical indicators meanwhile are not favoring a further push towards north, meaning a stronger bearish presence still haunts the market. As you can see 4H BitFinex the chart above, the price has failed to cross above the 200 SMA around 238 and is currently floating near the daily moving average. The RSI is also in a selling region, waiting to break above 50 to ease its position. Meanwhile, MACD, being too close to the normal line, is still looking to dive further below the saffron signal curve. Its bearish for long term, indeed.
Thus, the pressure is going to remain on 210 to hold the price from testing this year’s low at 165. If both the supports are broken, what we are looking at is a breakout towards 140, or even to lower 100s.
On the other hand, 210-220 area has previously proven to be a decent buying region. If buyers are in a mood for a rally, they must try to jump into the bandwagon around this area. At this point of time, we cannot guarantee a stronger rally towards 300, but the attempt in such case would be to break at least above the 250-resistance.