Bitcoin Breaches Overhead Resistance but Fails to Reclaim the $25,000 Support
The Bitcoin (BTC) exchange rate has remained stable above the $24,000 support as it struggles to recapture $25,000. After several attempts to maintain the bullish momentum, Bitcoin is holding above $24,000.
Buyers have been struggling to break through the $24,900 resistance since August 11. Nonetheless, Bitcoin reached the high of $25,205 today, but fell back below resistance. The largest cryptocurrency is struggling to regain the $25,000 support.
If the bulls break the current resistance and the bullish momentum is maintained above the $25,000 support, the market will resume its upward momentum. The BTC price will rally to the $28,000 high. Bullish momentum will extend to the $30,000 and $32,000 highs. Conversely, if the bitcoin price turns away from its recent high and drops below the 21-day line SMA, it will fall back to its previous low at $20,724.
Bitcoin indicator reading
Meanwhile, Bitcoin is at level 62 of the Relative Strength Index for period 14, indicating that Bitcoin is in an uptrend and could continue to rise. Nevertheless, the BTC price is below the 40% range of the daily stochastic. This indicates that the market is in a bearish momentum. The 21-day line SMA and the 50-day line SMA are up, indicating an uptrend.
Key Resistance Zones: $30,000, $35,000, $40,000
Key Support Zones: $25,000, $20,000, $15,000
What is the next direction for BTC?
Bitcoin is in an uptrend as buyers try to break the $24,000 high and maintain the upward momentum. In the meantime, the price of BTC is falling to the downside. The uptrend will continue if the price finds support above the moving average lines. However, the downtrend will continue if the price falls below the moving average lines.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
Source: Read Full Article