- Bitcoin retreats into the former resistance range quashing investor excitement.
- BTC/USD must correct past $6,400 for a swing above $6,500 in the near-term.
- Expect a range of “$6K-$9K for the next six months,” Atlas Quantum CEO Rodrigo Marques.
The green for the potential bullish rally is slowly creeping out. The investors were getting ready for an upswing that could see Bitcoin clear the resistance at $7,000. However, the ongoing gain trimming activity is dimming the light at the end of the tunnel.
Following the range escape escapade that had it break above $6,500, is a drop that has broken below the trendline support at $6,458.80. Prior to the drop, there was a brief consolidation around the $6,500 level after BTC/USD was unable to correct past $6,530. At the time of press, Bitcoin has creeped into the resistance range with a support at $6,374 and an upper limit at $6,440.
The price is holding tight at the 100 SMA (1-hour) chart currently at $6,390, while Bitcoin is trying to make a bullish comeback in a bid to recovery above $6,400. The MACD at -19.3 is a strong sell signal couple with the RSI which is entering the oversold region. The price must recovery above $6,400 and target the range resistance at $6,440 for a recoil above $6,500. On the flipside, if the range support gives in to selling pressure, Bitcoin will take refuge at $6,200 and $6,000 respectively.
Investors are expecting Bitcoin to grind higher as the end-year approaches. However, the CEO of Atlas Quantum, a global investment platform based in Brazil, Rodrigo Marques reckons that Bitcoin should not be expected to slide below $6,000 as the year comes to an end. However, he reckons and a I quote:
We continue to see BTC in a consolidation period and don’t expect it to break below a support level of $6K before the end of the year. Right now, large investors are moving into the market in anticipation of a likely move upward but it’s hard to say when that will occur. Expect a range of “$6K-$9K for the next six months.
BTC/USD 1-hour chart