Bitcoin Begins Retracement After Multiday Rally

2020-7-24 11:15

On July 23, the Bitcoin (BTC) price continued its upward move that began with a breakout on July 21.

The strength of the upward move looks intact, even as a short-term retracement is developing.

Bitcoin Meets Resistance

Yesterday, the Bitcoin price created another bullish candlestick that had wicks on both sides. This is the third consecutive bullish candlestick since the breakout on July 21.

The rally seems to have stalled at the 0.5 Fib level of the entire decrease that began on June 1. Using the Fib retracement tool on the most recent decrease, we see that the price has moved slightly above the 0.85 Fib level.

Since this is not a common reversal level, it’s likely that the price will eventually move above the June 22 high of $9,780.

The closest resistance area is found at $9,750, while the closest support area lies near the breakout level at $9,250. There is a minor horizontal support area at $9,420.

BTC Chart by Trading View

The hourly chart shows that the price has already begun to retrace after generating considerable bearish divergence in the hourly RSI.

While the price has begun to retrace, it seems to have found support above the 50-hour moving average (MA).

The most likely area for a reversal is found between $9,313 and $9,447. The former is the 0.618 Fib level of the recent increase and coincides with the 200-hour MA, while the latter is the 0.382 Fib level.

Volume has been much lower during the decrease, so it’s likely that this is just a retracement rather than the beginning of a new downward trend.

BTC Chart by Trading View Wave Count

The Bitcoin price has been increasing since July 17. The increase intensified on July 21, indicating that wave-3 has begun.

It seems that yesterday’s high was the top of this third wave, and the price has now begun a correction, currently completing wave A of an A-B-C formation.

The likeliest level for this correction to end would be near the 0.5 Fib level at $9,380, fitting closely with the support from the first section.

Since the second wave correction went deep (0.618 Fib), it would be expected for the current wave to be more shallow, hence a retracement towards the 0.382-0.5 Fib levels.

BTC Chart by Trading View

To conclude, the BTC price seems to have begun a small corrective period, which is expected to end near $9,400. Afterward, the price is likely to resume its upward movement and break out above $9,750.

For our previous analysis, click here.

The post Bitcoin Begins Retracement After Multiday Rally appeared first on BeInCrypto.

origin »

Bitcoin (BTC) на Currencies.ru

$ 101052.89 (+1.27%)
Объем 24H $116.072b
Изменеия 24h: 3.37 %, 7d: 1.35 %
Cегодня L: $92791.64 - H: $101052.89
Капитализация $2002.796b Rank 1
Цена в час новости $ 9612.81 (951.23%)

bitcoin price move upward july retracement yesterday

bitcoin price → Результатов: 126


Bitcoin Price Remains Bullish As Monthly Stochastic Sits Above 80, Here’s Why

The Bitcoin price has struggled to break above the $100,000 threshold decisively over the past four weeks, largely fluctuating within the $90,000 to $100,000 range. This correction and lackluster price action have caused a degree of bearish sentiment among traders, with some speculating that Bitcoin might have already reached its peak for the current cycle. […]

2025-1-15 18:30


Extremely Bullish 88-Day Structure Appears On Bitcoin Price Chart After Hitting $105,000 ATH

The Bitcoin price has continued its foray above the $100,000 threshold and is currently trading around new all-time highs. Following its recent surge to an all-time high (ATH) above $106,000, the Bitcoin price has played out an interesting pattern on the 1-day candlestick timeframe, which points to an extremely bullish outlook for the leading cryptocurrency.

2024-12-16 11:30


Are Bitcoin Whales Still Holding For Higher Profit? This On-Chain Signal Suggests So

The Bitcoin price performance in 2024 is one for the history books, with the premier cryptocurrency crossing the $100,000 mark for the first time ever. However, hitting this milestone opened the door to another conversation — when will the market top be in? As a result, several predictions of the Bitcoin price top have emerged […]

2024-12-15 12:30


Bitcoin Price Alert: Expert Warns Of Upcoming 25% Drop, Timing And Trends Explained

After reaching a new all-time high of $99,600 last Friday, the Bitcoin price has retraced to the $94,000 mark for the first time in nearly a week. This pullback comes amid growing speculation about a possible correction following a massive three-week uptrend that saw the leading crypto surge by 40% after Donald Trump’s election on November 5.

2024-11-26 10:30