- BTC/USD has been hovering around $7,300 lately.
- The next support awaits BTC on approach to $7,000.
Bitcoin has lost over 20% of its value in recent month. However, it is still 98% higher from January 2019, which means that those who bought Bitcoin in the beginning of the year are still in the money. At the time of writing, BTC/USD is changing hands at $$7,250, locked in a tight range for the last two days.
Bitcoin’s long-term technical picture
BTC/USD topped at $7,868 on November 29. As the bulls could not take the price above $7,900-$8,000 resistance zone, the downside correction brought the price back to $7,300 area. Notably, BTC/USD has settled below 61.8% Fibo retracement for the entire upside move from $3,226 low to $13924 high, which bodes ill for Bitcoin in the short run.
The nearest support is located at a psychological $7,000. Once it is broken, the downside pressure may increase with the next focus on the lower boundary of the daily Bollinger Band at $6,670 and the recent bottom of $6,526.
On the upside, a sustainable move above $7,350 walloped up the way towards $7,700 (the middle line of the daily Bollinger Band). The next barrier is created by $8,000; however, the ultimate resistance awaits un on approach to $8,300. Reinforced by SMA50 (Simple Moving Average) daily, it represents a pivotal point for BTC covert in the midterm.
BTC/USD, 1-day chart