Cryptocurrency analysts of Coinidol.com report, Bitcoin (BTC) price has fallen below the moving average lines and is likely to fall further.
The price movement was slowed down by the presence of Doji candlesticks. The price barrier of $28,900 keeps the BTC price steady, and the moving average lines prevent further increases. The bears are in control of the market as Bitcoin is trading in the downtrend zone.
If the bears break the $28,900 support and the bearish momentum continues, the market will fall to the support above the $28,000 level. Buyers will see a further decline if they fail to hold the $28,000 support. Bitcoin will continue a positive trend upwards once the price breaks above the moving average lines.
Bitcoin is vulnerable to a decline with a Relative Strength Index of 45. Moreover, price bars falling below the moving average line will force Bitcoin to crash above the lows. Nonetheless, the BTC price is above the Stochastic threshold of 80 on a daily basis. The uptrend has reached the overbought zone. As a result, the risks for Bitcoin are diminishing as it approaches bullish exhaustion.
Key resistance levels – $30,000 and $35,000
Key support levels – $20,000 and $15,000
Doji candlesticks make it difficult to predict the direction of the Bitcoin market. If buyers fail to keep the price above the moving average lines, Bitcoin will fall. Currently, the BTC price has reached an overbought level, which will lead to a price decline. In the meantime, Doji candlesticks continue to shape the price action.
Last week Coinidol.com reported that bulls bought dips when the Bitcoin price fell to a low of $28,637 on August 1. The crypto price retested the psychological price level of $30,000 after its recovery.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol.com. Readers should do their research before investing in funds.