Bitcoin Price Key Highlights Bitcoin price had previously been moving above the rising trend line on its 1-hour time frame but a downside break recently occurred.
This could mean that a short-term reversal is in the cards for bitcoin, but a pullback might take place first.
Technical indicators are confirming a possible selloff and the Fibonacci retracement tool reveals the nearby resistance areas.
Bitcoin price could be due for a reversal from its previous uptrend, following a downside break of the trend line and pending a correction.
Technical Indicators Signals
At the moment, bitcoin price is stalling at the 38.2% Fibonacci retracement level, which might hold as the resistance level. The 100 SMA is crossing below the 200 SMA to indicate that the selloff could carry on.
Stochastic is also pointing down after just making it close to the overbought region. RSI is heading south so the bitcoin price might follow suit, but this oscillator is still hovering at the middle ground and might still turn higher.
In that case, a larger correction could be possible, with the broken trend line likely the line in the sand for any pullback scenario. A move past that area could put bitcoin price back on an uptrend again.The 50% Fibonacci retracement level is located at the $428.56 level while the 61.8% Fibonacci level is at the $433.18 mark. Meanwhile, the broken trend line is closer to $440, which also lines up with a previous area of interest. Market Events The return in risk appetite spurred a quick bounce for bitcoin price yesterday but strong US data also kept the dollar afloat, which explains the consolidation in BTCUSD. Commodities rebounded, led mostly by crude oil as another OPEC meeting might take place next month.Durable goods orders data came in strong, with both headline and […]
