BitcoinLong
BTC/USD (XBT/USD) Extends Pullback From 12000
Bitcoin (BTC/USD) continued to back away from the 12000 figure early in today’s Asian session as short-term technical sentiment continued to erode following the pair’s pause around the 11892.16 area earlier this week. During the current downturn, Stops were elected below the 11768.71, 11730.58, and 11692.45 areas, representing the 38.2%, 50%, and 61.8% retracements of the recent appreciation from 11569 to 11882.16, and traders are eyeing the 11645.27 and 11638.16 areas as additional downside price retracement levels. One range that has recently influenced recent price activity is the recent appreciation from 11546.15 to 12086.22, and traders are observing that buying activity emerged during a recent pullback just below the 11497.71 area, representing the 38.2% retracement of the appreciating range. The pair recently traded as high as the 12486.61 area, its strongest print since July 2019. After the depreciation of BTC/USD earlier this week from 12486.61 to 11825.00, traders were unable to gain a foothold above the 12077.74 area during a retracement higher, representing the 38.2% retracement of the depreciating range. Traders are paying close attention to some levels where Stops were recently triggered during the move higher, including the 11992.15, 12086.22, 12112.97, 12173.80, and 12348.26 areas. Traders note that the recent high of 12486.61 represented a test of the 12496.68 area, an upside price objective related to buying pressure that emerged around the 8055.91 area earlier this year.
Additional retracement levels in this appreciating range include the 11316.19, 11134.46, and 10909.61 areas. Traders also remain focused on the 12023.45, 11964.56, 11880.38, 11803.31, 11737.30, 11642.95, 11560.28, and 11533.51 areas during pullbacks lower, representing the retracements of the recent appreciating ranges that commenced around the 9005.00, 8905.84, 8815.01, and 8632.93 areas. A key level where buying pressure recently emerged is around the the 11529.38 level, a test of the 11510.44 area that represents the 50% retracement of a historical depreciation from 19891.99 to 3128.89. Additional upside price objectives include the 12713.18, 12859.49, and 13107.05 levels, targets related to areas of buying pressure that emerged earlier this year around the 3858.00 area and above. Stops were recently elected above the 11026.97, 11115.62, 11340.92, 11399.17, 11407.81, 11570.81, and 11761.97 levels. Below those areas, some potential areas of technical support include the 10200.39, 10139.11, and 10082.97 areas. Chartists are observing that the 50-bar MA (4-hourly) is bullishly indicating above the 200-bar MA (4-hourly) and above the 100-bar MA (4-hourly). Also, the 50-bar MA (hourly) is bearishly indicating below the 100-bar MA (hourly) and below the 200-bar MA (hourly).
Price activity is nearest the 100-bar MA (4-hourly) at 11763.87 and the 50-bar MA (Hourly) at 11791.81.
Technical Support is expected around 11497.91/ 11348.03/ 11120.00 with Stops expected below.
Technical Resistance is expected around 12496.68/ 12713.18/ 13202.63 with Stops expected above.
On 4-Hourly chart, SlowK is Bearishly below SlowD while MACD is Bearishly below MACDAverage.
On 60-minute chart, SlowK is Bearishly below SlowD while MACD is Bearishly below MACDAverage.
Given that Bitcoin has been in a strong uptrend, traders have consistently purchased dips to the 20-day exponential moving average ($11,570) because they believe that the rally will resume and the price would not dip to these levels again. However, Bitcoin’s weak rebound off the 20-day EMA on Aug. 20 suggests that the bulls are not confident that the uptrend will resume, hence, they are not buying aggressively at this support.
The negative divergence on the relative strength index suggests that the momentum has weakened. If the price breaks and sustains below the 20-day EMA, the traders are likely to wait for the BTC/USD pair to find support at lower levels, before buying.
On a drop below the 20-day EMA, the decline can extend to the $11,100–10,900 support zone.
Contrary to this assumption, if the pair rebounds off the 20-day EMA, the bulls will make another attempt to push the price above the $12,113.50–$12,460 resistance zone. If they succeed, the uptrend is likely to resume.Bitcoin continued its sideways movement this week as it remained around the $11,600 level. However, during the week, the cryptocurrency did push higher as it penetrated above the $12,000 resistance to reach the $12,400 level.
Unfortunately, it was unable to sustain these highs as it rolled over to fall beneath $12,000 at the start of the week. Bitcoin has since dropped further as it reached the support at $11,650 (.236 Fib Retracement). A rising trend line also bolsters this support.
The fading momentum, coupled with falling volume, puts Bitcoin in a precarious situation that could lead to it dropping back toward $11,000.
If the sellers do break beenath $11,650, the first level of support lies at $11,300 (downside 1.172 FIb Extension). Added support is found at $11,150 (.382 Fib Retracement), $11,000, and $10,783 (.5 Fib Retracement).
On the other side, if the bulls can regroup at $11,650 and push higher, resistance lies at $11,800, $12,000, $12,100 (1.272 Fib Extension), and $12,400
Additional retracement levels in this appreciating range include the 11316.19, 11134.46, and 10909.61 areas. Traders also remain focused on the 12023.45, 11964.56, 11880.38, 11803.31, 11737.30, 11642.95, 11560.28, and 11533.51 areas during pullbacks lower, representing the retracements of the recent appreciating ranges that commenced around the 9005.00, 8905.84, 8815.01, and 8632.93 areas. A key level where buying pressure recently emerged is around the the 11529.38 level, a test of the 11510.44 area that represents the 50% retracement of a historical depreciation from 19891.99 to 3128.89. Additional upside price objectives include the 12713.18, 12859.49, and 13107.05 levels, targets related to areas of buying pressure that emerged earlier this year around the 3858.00 area and above. Stops were recently elected above the 11026.97, 11115.62, 11340.92, 11399.17, 11407.81, 11570.81, and 11761.97 levels. Below those areas, some potential areas of technical support include the 10200.39, 10139.11, and 10082.97 areas. Chartists are observing that the 50-bar MA (4-hourly) is bullishly indicating above the 200-bar MA (4-hourly) and above the 100-bar MA (4-hourly). Also, the 50-bar MA (hourly) is bearishly indicating below the 100-bar MA (hourly) and below the 200-bar MA (hourly).
Price activity is nearest the 100-bar MA (4-hourly) at 11763.87 and the 50-bar MA (Hourly) at 11791.81.
Technical Support is expected around 11497.91/ 11348.03/ 11120.00 with Stops expected below.
Technical Resistance is expected around 12496.68/ 12713.18/ 13202.63 with Stops expected above.
On 4-Hourly chart, SlowK is Bearishly below SlowD while MACD is Bearishly below MACDAverage.
On 60-minute chart, SlowK is Bearishly below SlowD while MACD is Bearishly below MACDAverage.
Given that Bitcoin has been in a strong uptrend, traders have consistently purchased dips to the 20-day exponential moving average ($11,570) because they believe that the rally will resume and the price would not dip to these levels again. However, Bitcoin’s weak rebound off the 20-day EMA on Aug. 20 suggests that the bulls are not confident that the uptrend will resume, hence, they are not buying aggressively at this support.
The negative divergence on the relative strength index suggests that the momentum has weakened. If the price breaks and sustains below the 20-day EMA, the traders are likely to wait for the BTC/USD pair to find support at lower levels, before buying.
On a drop below the 20-day EMA, the decline can extend to the $11,100–10,900 support zone.
Contrary to this assumption, if the pair rebounds off the 20-day EMA, the bulls will make another attempt to push the price above the $12,113.50–$12,460 resistance zone. If they succeed, the uptrend is likely to resume.Bitcoin continued its sideways movement this week as it remained around the $11,600 level. However, during the week, the cryptocurrency did push higher as it penetrated above the $12,000 resistance to reach the $12,400 level.
Unfortunately, it was unable to sustain these highs as it rolled over to fall beneath $12,000 at the start of the week. Bitcoin has since dropped further as it reached the support at $11,650 (.236 Fib Retracement). A rising trend line also bolsters this support.
The fading momentum, coupled with falling volume, puts Bitcoin in a precarious situation that could lead to it dropping back toward $11,000.
If the sellers do break beenath $11,650, the first level of support lies at $11,300 (downside 1.172 FIb Extension). Added support is found at $11,150 (.382 Fib Retracement), $11,000, and $10,783 (.5 Fib Retracement).
On the other side, if the bulls can regroup at $11,650 and push higher, resistance lies at $11,800, $12,000, $12,100 (1.272 Fib Extension), and $12,400
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