Bitcoin Price Stops Above $57,000 And Starts A Sideways Movement

The Bitcoin (BTC) price has slipped below the moving average lines and is now consolidating above the $58,000 support.

BTC price long-term prediction: bearish

Since the price drop on August 27, the price action has been limited to the area above the $58,000 support and below the moving average lines. The appearance of doji candlesticks has slowed the uptrend. Doji candlesticks symbolize traders who are uncertain about the direction of the market. 

On the downside, the slide has paused above the $58,000 mark. However, if the bears manage to break through the current support, the market will fall to a low of $55,000. However, if the current support holds, Bitcoin will resume its sideways trend above this level. The cryptocurrency will trade above the $57,000 support and below the moving average lines. In the meantime, Bitcoin's value stands at $57,594.

BTC indicator reading

The price bars remain below the moving average lines after the price drop on August 27. The existence of the Doji candle has brought the selling pressure to a halt. Bitcoin threatens to fall if it trades below the moving average lines. The sideways trend has kept the moving average lines horizontal.

Technical indicators:  

Resistance Levels – $70,000 and $80,000

Support Levels – $50,000 and $40,000

What is the next direction for BTC/USD?

Bitcoin drops below the moving average lines. Selling pressure eased as bulls halted the fall above the $58,000 support. The bears may still have the upper hand as Bitcoin is trading in a bearish trend zone. Bitcoin is consolidating above the current support and suggests a future trend.

Disclaimer. This analysis and forecast are the personal opinions of the author. They 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.