Dominant bias for Bitcoin (BTC)- Bearish
Resistance Levels- $6800, $6900, $7000
Support Levels- $6000, $5900. $5800
BTC continues in a bearish trend. The bears are having a great day as they held control of the market pushing the cryptocurrency to a new low yesterday. Rejection of the bulls attempt for upward price movement occurred at $6383.6 in the resistance area. With the formation of an inverted hammer and confirmed by the bearish marubozu candle at 6354.40 the bears made a return. BTCUSD dropped to $6302 in the support area before the end of yesterday session due to the Bears’ pressure.
The bulls showed sign of gradual returned with the bullish hammer formed at the close of the session. The opening 4-hour candle was a doji hence the current candle forming may give a direction as either the bulls or the bears will control the market.
It is obvious that after each flag formation the bears do return and drop the cryptocurrency to a new low. Hence the current bullish momentum is creating a good flag that may set the stage for the bears’ ultimate return for a new low before the end of the day.
