Bitcoin Struggles Above $16,500 Low As Sellers Threaten

Bitcoin (BTC) price has declined in the last three days after the rejection at the moving average lines.

Bitcoin price long-term forecast: bearish

Buyers pushed the cryptocurrency to a high of $16,963 on Dec. 26, but were beaten back. Since then, the bitcoin price has fallen to a low of $16,444, but the bulls have bought the dips. At the time of writing, the cryptocurrency had risen above $16,586. However, selling pressure could pick up again if bearish momentum stays below the $16,500 support. Bitcoin will fall to a low of $16,000. If $16,000 support is broken, the decline will continue to the low of $15,588. However, if the $16,500 support holds, the largest cryptocurrency will resume its uptrend. Initially, it will rise and retest the $17,000 mark. If the $17,000 mark is broken, Bitcoin will reach its previous high of $18,000.

Bitcoin indicator display 

Bitcoin has continued to decline and has reached the 42 level of the Relative Strength Index for the 14 period. Bitcoin has reached a critical support level as a result of the recent setback. As long as the price bars are below the moving average lines, Bitcoin is vulnerable to a decline. The horizontal slope of the moving average lines indicates the trend. Bitcoin is in the oversold territory on the daily stochastic chart, below level 20.

Technical indicators 

Key resistance levels - $30,000 and $35,000

Key support levels - $20,000 and $15,000

What is the next direction for BTC/USD? 

Bitcoin (BTC) has resumed its sideways movement after a minor pullback above the $16,500 support level. On the 4-hour chart, Bitcoin has fallen into the oversold zone of the market. Buyers are expected to emerge to push prices higher.

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. Readers should do their research before investing in funds.