Bitcoin approached the support at $7,000 in a renewed downward momentum. The support expected at $7,200 failed to hold once again. However, a shallow recovery has pulled BTC above $7,100 and is dancing at $7,1450.
The cryptocurrency live rates show Bitcoin trading 0.72% lower on the day. The current trend is strongly bearish but volatility levels have remained low.
The confluence tool places the initial resistance at $7,189 as highlighted by the Bollinger Band 15-minutes middle, SMA 10 15-mins, previous high 15-mins, previous high 1-hour, Fibonacci 23.6% one-day, SMA ten 1-hour and the pivot point one-week support one among other indicators.
If the bulls manage to reclaim the lost ground above $7,200, further movement north will face a medium-strong resistance at $7,263. The indicators converging here include the SMA 50 1-hour, SMA 200 15-mins. Fibo 23.6% one-week and the Bollinger Band 1-hour upper.
The most prominent resistance is the zone at $7,412 and is home to the SMA 100 4-hour, pivot point one-day resistance three, BB one-day middle, SMA 100 1-hour, SMA ten one-day and the SMA 200 1-hour.
When support areas are considered, Bitcoin is in grave danger of sinking towards $6,000. To avert the potential drop, the bulls must ensure that they defend $7,000 support and focus on $8,000. Subtle support can be seen at $70,40, $6,817 and $6,594.
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