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  • BTC/USD is sliding down within the recent range.  
  • The downside correction is likely to stop at $5,000.  

BTC/USD has moved into a red zone for the first time since April, 16; however, despite a retracement from recent highs, it is still moving within an upside channel with the lower boundary at $5,050. The coin has gained nearly 5% in recent seven days and over 65% since the beginning of the year.    

Bitcoin’s technical picture  

From the longer-term of view, BTC/USD may retest the above-said lower boundary of the channel, strengthened by a midline of 1-day Bollinger Band and psychological $5,000. This strong support zone is likely to stop the correction and create a foundation for another bullish leg with the next focus on $5,448 (the recent high) and $5,500. Meanwhile, the ultimate resistance comes at $5,650-$5,670 supported by the upper line of 1-day Bollinger Band and the channel resistance.  

On the downside, a sustainable move below $5,000 will negate the immediate bullish forecast and open up the way towards $4,500 (DMA200) and $4,350-$4370 (DMA50 and lower line of the Bollinger Band)  

BTC/USD, 1D chart