What is Bitcoin (BTC) Doing Right Now?
Bitcoin is currently trading around the $49,200 mark and is looking a bit bearish in the short term. The price has been moving slowly since the flash crash last weekend and the buying volume is consistently dropping. Bitcoin did manage to break above the important level near $51,600 for several minutes but it was followed by a bearish engulfing candle and the price has been dropping since then. The main resistance BTC needs to overcome in the coming day is the $51,600 level.
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Analyzing the Charts
If we take a look at the 1-hour charts, we can see that Bitcoin is currently retesting the support at $49,200 and is struggling to stay above it. We did see BTC bounce from this support recently after the recent sell-off on the shorter timeframes.
If we do bounce back from this region in the coming hours we can expect to face some resistance around the $50,700 mark. BTC is currently facing some selling pressure here and we must get above it first to retest the $51,600 level. The $51,600 region has acted as strong resistance in the past as well, and Bitcoin usually struggles to break above it.
On the other hand, if we lose the support at $49,200 the next level we would be eyeing for BTC in the short term is $47,700.
If we manage to hold the support and break above the mentioned resistance, Bitcoin will start gaining strong bullish momentum in the coming days.
Conclusion: What is Next for Bitcoin (BTC)
Bitcoin is currently in a critical spot and can go either way in the coming days. Right now, the major resistance it needs to get above is the $51,600 mark and it also needs to break the trendline resistance mentioned in our previous analyses. Once BTC gets above these levels only then we will be interested in accumulating more of it. Otherwise, we will trade levels wisely and with tight stop losses.
How to Trade Bitcoin (BTC)?
To understand the basics of Bitcoin trading, you can read our How To Trade Bitcoin Guide. It can prove helpful for traders who are just getting started with Bitcoin trading. You can also check out our list of top Bitcoin Exchanges To Trade With.
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