After breaking under a development line help, bitcoin (BTC/USD) appears to be like able to bounce from a technical help zone.
What do you assume?
We’re trying on the every day chart at present, yo!
As you’ll be able to see, BTC/USD just lately broke under a development line help that’s been round for the reason that begin of the yr.
Curiously, bitcoin’s selloff additionally took a breather proper across the time when BTC/USD hit key space of curiosity.
I’m speaking in regards to the $26,000 psychological degree, yo!
Not solely has the $25,500 – $26,000 space served as resistance again in February, nevertheless it was additionally the place BTC/USD bounced in mid-June.
This time round, the $25,500 – $26,000 zone represents a potential vary help within the every day timeframe.
Even Stochastic is pointing to a potential bounce because it flashes an “oversold” sign.
A bounce from BTC/USD’s present ranges might bump the pair again as much as the $28,000 mid-range zone that’s additionally close to the damaged development line and SMA areas.
We might even see a return to the 2023 highs close to $31,000 if there’s sufficient momentum!
I wouldn’t low cost additional draw back strikes, nonetheless.
Take word that BTC/USD is buying and selling under the 100 and 200 SMAs for the primary time since a bullish crossover occurred in early March.
If BTC/USD breaks under the vary help zone that we’re watching, then we might see a transfer again all the way down to the $24,000 or $22,700 earlier areas of curiosity.