On Wednesday morning, Bitcoin (available on Coinbase) continued its decline from earlier this week, falling below the pivotal $6,500 price point. The cryptocurrency is now trading at around $6,400. Its price fell by approximately 17% over the past seven days and by 75% through 2018.
Bitcoin (available on Coinbase) Continues Decline, Testing New Support
Continuing its decline from this past weekend, Bitcoin (available on Coinbase) price fell below the critical $6,500 level. BTC/USD is now on a bearish trend testing a new support at $6,340. Another bearish trend line formed earlier at its resistance level of $6,550. As a result, BTC/USD fluctuated between the $6,400-$6,500 range throughout most of Wednesday morning.
On the downside, a break below the support could take BTC/USD toward $6,000 and even a long-term bottom at $4,000. On the upside, a rebound above $6,500 is also a possible scenario, but a move toward $7,000 and beyond seems out of reach.
Source: Tradingview
The moving averages suggest that the price path is to the downside and a selloff is more likely to happen. However, a sTron (available on Binance)g bullish pressure could take BTC/USD near the resistance later in the day and lead a minor pullback. The MACD crossover confirms this bullish sentiment, but the RSI is indicating overbought conditions that are taking Bitcoin (available on Coinbase) price higher.
Looking at the Technical Indicators:
Hourly MACD — Bullish signal
Hourly RSI — Bitcoin (available on Coinbase) is in overbought territory
Major Resistance Level — $6,550
Major Support Level — $6,340
Featured Image: Depositphotos/© peshkova
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