This week has been extremely bearish for Bitcoin with losses on every day. We are currently on the seventh consecutive loss with a very bearish candle being priced in. There was a brief rise up near the $7500 mark, but strong resistance was met at the 100EMA.
Bitcoin is dropping hard currently after falling below the $7200 price. This could be the start of another prolonged downtrend. If this is the case, the recovery in the markets was short-lived and only spanned about three weeks.
We can see the brief recovery closer on the 4hr chart. The recovery was very weak with strong resistance being met around $7500. After several failed attempts, price action has had a steep drop-off over the past few candles. With significant volume, momentum is definitely in the downward direction, and the current candle is forming as marubozu candle. A marubozu candle is one which signals strong strength in one direction due to its large body and little to no wicks.
On the hourly, we can see the market is currently selling off hard due to the drop below $7200. If the daily closes below this point, many analysts see a further price drop to the $6850 level in store.
- Price drops below $7200. If daily closes below this point, many analysts see the price dropping all the way back to $6850.
- Momentum is strong in a downward direction with Marubozu candles being priced in.
- A brief rise was met by strong resistance at the $7500 level.
Breaking: Market Bloodbath As Bitcoin [BTC] Price Drops Below $7200 was originally found on [blokt] – Blockchain, Bitcoin & Cryptocurrency News.