The king of cryptocurrency Bitcoin price has been rolling, but the problem is that it is rolling downward. Just yesterday, the leading currency took another fall, adding up to the series of falls the currency has been undergoing this whole month.
It seems BTC price is most likely to cancel out its surge of the 25th of October and would be taking a long-term trip to the downtrend.
Bitcoin price support giving way?
The mid-term chart tends to highlight the red band of support, which is resistance that has given way.
The point is said to have the golden pocket region of 0.618-5 Fibonacci scale, and this is every so often the location of trend reversals. However, following two tests of the area, the 3rd test gave way.
Bitcoin price is testing the $8,000 level itself now. The final common level of the 0.786 Fibonacci scales is not tested as of yet.
It is worth noting that the sell volume on this fall has not been something to look for, however, in order to have a clear picture, let’s dive deeper with the finer-grained chart.
The 30-minute chart indicates that the sufficient volume from the previous chart was the support volume, and buyers intending to catch BTC price within the range of $8000 to $8200.
In this short timeframe over $8000, a double bottom has been formed. Assuming that the current price is low, a bullish divergence being formed on oversold RSI can be witnessed on this formation.
The final key support can be expected to begin at $7800, and that is exactly where BTC was previously held during the consolidation in the month of October.
Featured Image by Pixnio