- Bitcoin bulls have been rejected from an important resistance level
- The crypto market is slowly turning bearish in the short-term
- ETH remains far weaker than Bitcoin
|⠀Key BTC resistance levels:||$6,900, $6,957, $7,000|
|⠀Key BTC support levels:||$6,335, $6,000, $5,990|
*Price at the time of writing
Bitcoin has been outperforming the traditional stock market for the past week now and has remained relatively strong within the context of the crypto market as it has gained some market dominance as well. The digital asset is currently trading above $6,000 but below $7,000, as it has been unable to break above this level.
The daily chart remains in an uptrend and the last higher low was set at $5,688, which means the bulls still have a lot of space to work with. Bitcoin has experienced several positive signs in the past few days like the MACD turning bullish for the first time in more than a month and the change in daily and 4-hour trends.
Bitcoin price short-term prediction: Neutral/Bearish
Like we pointed out in our last BTC analysis, the bulls were facing a lot of resistance between the $6,900 and $7,042 area. The bears have now proven that this is in fact a heavy resistance area, as the price of Bitcoin was rejected yet again from $6,957. This has basically created a double top formation, although the current candlestick hasn’t closed yet.
The bears have seen significant continuation after the rejection at $6,957 as the value of Bitcoin declined by 7% in less than 4 hours. The 4-hour uptrend is not lost yet and the bulls could still turn the bearish momentum around. The MACD is on the verge of a bearish cross but maintains the daily bullish cross. The daily RSI remains pretty low at 45 points and the bulls are looking for support at the $6,327 area, the 12-period EMA.