- Bitcoin price struggled to remain higher, as sellers managed to take the price lower.
- There is a major support around 270.0 where the price found support once again this past week.
Bitcoin price corrected higher this past week, but found sellers around 300.00 which caused a downside reaction.
We highlighted this past week that the price struggled to hold ground and showed signs of a downside move. There was a decline noted this past week, which took the price toward the 272.0 support area. The most important point is the fact that the correction phase in the Bitcoin price stalled around the 50% Fib retracement level of the last drop from 298.0 to 271.4. We can call this as the completion of a correction phase, as the price sets up for more losses in the near term.
Trend Line break
There was a major bullish trend line formed on the 4-hours chart of the Bitcoin price chart, which was breached by sellers this past week. The mentioned break ignited a downside move, which took the price back towards the last swing low of 272.00. It is important to note that the stated level holds a lot of significance as the price found support around it on more than two occasions. So, it is safe to say that the price might once again find support around it and correct higher. If it corrects higher, then an initial support can be seen around the 23.6% fib retracement level of the last fall. However, the most crucial hurdle can be around the 100 simple moving average on the 4-hours chart.
On the downside, the last low of 272.00 is a critical support area, as mentioned earlier.
Intraday Support Level – 272.00
Intraday Resistance Level – 280.00
Overall, selling rallies close the 100 SMA is a good idea.
Charts courtesy of Trading View