- Bitcoin price hit a snag above $7,100 and tanked rejecting support areas at $7,000 and $6,900.
- The bulls have regained control, although they still lack momentum to retrace steps above $7,000.
Bitcoin bulls hit a snag yesterday when the price rejected the support at $7,000 and dropped further below $6,900. The slide extended below the trendline support at $6,890.15 as seen on the hourly chart. Buyers found balance above $6,800 support which encouraged them to increase entries pulling the price back above $6,900.
Bitcoin is still in a bullish trend in spite of the drop from the weekly high at $7,130. The bulls appear to be preparing for another jump towards the long-term resistance at $8,000 but first, they must overcome the short-term resistance at $7,000 and find a support above $7,500 in the medium-term. Industry experts like Tom Lee, co-founder of Fundstrat maintain that there will be a rally before the end of the year and BTC/USD will trade at $20,000.
In the meantime, Bitcoin is trading at $6,975; the hourly 50-day simple moving average is limiting upside movement at $6,976.11. As mentioned, $7,000 is a key breakout point towards higher levels. The price is also immediately supported at the 23.6% Fib retracement level with the last swing high of $7,130.19 and a swing low of $6,684.18. The trendline is also positioned to offer support but the stronger support rests at $6,800.
Looking at the hourly BTC/USD chart, it shows that the bulls are still in control. They need, however, to break above $7,000 in order to avoid frequent dips.
BTC/USD hourly chart 
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