Bitcoin (BTC): First attempts to bottom out on the 4-hour chart
BTC exchange rate: $ 22,629 (previous day: $ 31,700)
Strengths / Short Term Goals: 23.289 USD, 24.291 USD, 25.460 USD, 26.170 USD, 27.074 USD, 27.696 / 27.975 USD, 28.607 USD, 29.256 USD, 29.975 USD, 30.612 USD, 31.750 USD, 32.383 USD
Short-term supports: 21,892 USD, 20,816 USD, 19,884 USD, 19,500 USD, 17,860 USD, 15,000 USD
4-hour chart Price analysis based on the pair of values BTC / USD on Coinbase
- While the key cryptocurrency Bitcoin was initially able to stabilize in the USD 30,000 range last week, on Friday June 10 following disastrous US inflation figures, the turquoise side channel dynamically broke to the downside. .
- Bitcoin broke the key supports at $ 28,005 and $ 27,047 the next day. On Sunday, the last trading day of the week, the downward momentum has further increased. A huge drop in the lender’s price Centigrade caused the panic by selling on the entire cryptocurrency market on the night from Sunday to Monday.
- Bitcoin broke the yearly low at USD 25,350 and slipped to the relevant support at USD 21,892 within hours.
- Even though this morning this support also fell short and Bitcoin fell again to USD 20,816, in the following hours it managed to save itself several times in the following hours with a closing price of 4 hours above the important support at 21,892. USD.
- This support level serves as the last relevant support for the bulls before the psychologically important level of USD 20,000.
- Altogether, nearly $ 1 billion worth of long bets on Bitcoin was liquidated during this period. Just yesterday Monday it was more than $ 500 million in 24 hours.
- Total market capitalization also dropped significantly south, dropping below $ 1 trillion to $ 860 billion.
- The two major US equity indices also reached this Tuesday afternoon Nasdaq100 And SP500 strong levels of support.
- Since many investors are waiting for the US Federal Reserve’s interest rate decision, a short-term side phase is expected until 20:00 (CET) tomorrow, Wednesday.
- Bitcoin is currently trading in the area of the moving average line of the last few weeks at USD 22,362. This important support line has been the subject of corrections in Bitcoin multiple times in the past. Another topic that the course could stabilize.
- Looking at the indicators, the RSI in the weekly chart has now returned to oversold territory with a value of 29, which could also indicate a possible technical countermovement in the medium term.
Bullish scenario (BTC):
- The bulls are currently recovering from the massive price drop of the past 96 trading hours.
- If Bitcoin manages to stabilize above USD 21,892 on a 4-hour basis and subsequently regain its daily high of USD 23,289, the resistance at USD 24,291 will initially focus as a target. Here the BTC course should fail on the first attempt.
- If the buying side breaks through this resistance, the recovery will initially extend to the $ 24,460 to $ 26,170 area. The supertrend in the 4-hour chart also runs here. A price rebound is therefore very likely.
- If Bitcoin also breaks through this resistance zone in the next trading days, and the EMA50 (orange) is also resumed in the USD 27,074 area, a new test of the tear edge at USD 27,975 is to be planned.
The goals above are limited
- In addition to the tear-off edge, the golden pocket of the current price movement is also located here.
- At best, Bitcoin could briefly touch USD 28,607 before another southward course correction is expected.
- If Bitcoin, contrary to expectations, manages to regain this strong resistance area, a recovery of the price up to USD 29,256 and USD 29,975 is conceivable. As the EMA200 (blue) is also in the USD 30,000 area, it should be difficult for the bulls to climb back towards the monthly highs.
- The maximum target range for the next trading weeks is between USD 31,750 and USD 32,383. For the moment it is difficult to imagine a reconquest of this area. The bears will want to fight back in this area at the latest.
Bearish scenario (BTC):
- Over the past week, the bears have not only parried every buyer’s attack, but have also sold the key cryptocurrency with high volume.
- Any attempt by the bullish camp to stabilize Bitcoin in the $ 28,000 area has been thwarted on the sell side.
- As a result, bears broke through the low of the year at USD 25,349 on the night of Sunday to Monday. By triggering many stop-loss orders, the sales momentum has increased significantly. This sent Bitcoin directly to support at $ 21,892. In the early hours of Tuesday, Bitcoin dipped as low as $ 20,816 before rising above $ 21,892. Bitcoin has closed the last four 4-hour candles above this support level.
- The price of BTC appears to have stabilized by 30% within three trading days following this strong sell. However, tomorrow night’s interest rate decision may already start a new wave of selling below today’s low.
The old historical high is displayed
- If the dynamic falls below USD 20,816, a retest of the old December 2017 all-time high between USD 19,500 and USD 19,881 can be expected. In the first attempt, Bitcoin should bounce north here.
- However, if the stock market continues to come under severe pressure following the Fed’s decision, a sell-off to USD 17,860 is also conceivable. This is where the general 78 Fibonacci retracement from the weekly chart is performed.
- The bulls are likely to want to use this price more for long entries.
- If there is no sustained recovery movement in the next few weeks of trading and Bitcoin slips below USD 17,860 at the daily closing price, the USD 15,000 maximum target price will become the investor’s target. This support level is taken from the monthly chart.
- As long as the buyer side can defend the area around the important psychological threshold of $ 20,000, a low cannot be ruled out in this case as well.
Disclaimer: The price estimates presented on this page are not a buy or sell recommendation, but only an analyst’s assessment.
The chart images were created using TradingView created.
USD / EUR exchange rate at the time of going to press: EUR 0.96.
Set up a bitcoin and cryptocurrency savings plan
Invest regularly in Bitcoin and benefit from the medium to long term cost effect. We will show you how.