Bitcoin Price Analysis: BTC might crash hard

Technical Indicators:

Support Level: $3650

Resistance Level: $3800

Key Points

• Bitcoin price started a bearish momentum falling below $3800.
• The previous upward move is being called a dead cat bounce.
• Major resistance is formed around $3800 which will likely push the bitcoin price downwards to test the $3600 support.

Bitcoin price has minor support near $3600 with the resistance around $3800 pushing the price downwards. Bitcoin might soon crash further downwards to test the $3600 support and if the support is broken, bitcoin might fall to $3300 in short term.

Bitcoin Price Analysis

The dead cat bounce of Christmas Eve has come to an end and bitcoin showed saw a downward correction yesterday with the price falling below $3800 up to $3680. There is a major resistance formed around $3800 pushing the price downwards. The support lies around $3600 and $3650 but is likely to be broken in short-term if the sellers continue to dominate the market. Bitcoin is currently on the edge of falling below the $3800 resistance. The long-term support lies at $3300 and if bitcoin price breaks through the current support around $3600 then it will most likely test this support.

Bitcoin is currently trading around $3834 according to Bittrex chart (at the time of writing). If Bitcoin fails to remain above $3650 range, then it might experience a massive crash down to $3300.