Following yesterday’s FUD – Binance exchange possible API hackwhich affected its users and the SEC tightening its regulation on crypto exchanges, Bitcoin had continued down, breaking the major support area at $9,000. It’s typical as the major support gets broken, we had a quick drop to test next support level at $8,400. As of writing these words, support at $8,400 held.
The overall picture looks very bearish, as we created a double-top form at $11,600. Support level lies at $8,400 and behind lies the strong support at $7,800-8,000 area. Breaking it down, and the low of $5,800 will feel in closer range.
The RSI indicator (marked on the chart) is at the over-sold zone, which might lead to a correction before the continue down. Resistance level is at $9,000, where support turned resistance.
BTC/USD BitSTAMP 4 Hours chart