Bitcoin Price Analysis: BTC/USD Crushed, Sell More?
Bitcoin price continued its decline against the US Dollar, as the BTC/USD sellers were seen under control. It may decline further. Know how.
There is a major bearish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD, which is acting as a resistance area for the pair.
Bitcoin Price Sell
There was a lot of selling pressure on the BTC versus the USD during the past 24 hours. The BTC/USD pair declined heavily and also tested the $600 support area as it traded as low as $601.
The price looks like under seller’s control, and if the bulls fail to take the price higher, then there is a chance of more losses.
As mentioned, there is a major bearish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD, which is preventing a recovery and pushing the pair down. The pair is currently trading near the $600 level, so there is a chance of a minor bounce in the near term.
If the price attempts to correct higher from the current levels, then it may face sellers near the 23.6% Fib retracement level of the last drop from the $656 high to $601 low.
The highlighted trend line resistance is also around the same trend line resistance. So, it would be interesting to see how the price trades in the near term and whether there are chances of more losses or not.
In my view, the pair may continue to decline and every correction can be seen as a selling opportunity. A stop can be placed above the 38.2% Fib retracement level of the last drop from the $656 high to $601 low.
On the downside, a break of $600 may take the price towards the $580 level.
Chart Source – TradingView.com and data feed by Bitstamp