Bitcoin bears have regained momentum after rejecting $48,000 to $47,500 key resistance level. Bitcoin broke below $45,500 psychological area. Will it decline further downward in the coming days? What are the charts and technical indicators are saying? Read on to find further insights into today’s BTC/USD Technical Analysis.
February 11, 2021, | AtoZ Markets – Bitcoin price fall today morning during the Asian session against the US Dollar. Subsequent to battling to move back over $47,500 to $48,000 area, bitcoin price has begun a downward correction. Bitcoin exchanged underneath the $45,700 to $45,500 support level to move into a momentary bearish zone. Bitcoin is currently trading around $44,800 area and trying to decline further. After bouncing from $38,000 to $38,500 support level, the bulls pushed the price upside quite impulsively and hit an all-time high of $48,000 area. As per the current price action, the price may face strong support at the dynamic level of 20 EMA on the intraday chart in the coming days.
Bitcoin Broke Below as the Price Requires a Downside Retracement
Bitcoin is currently residing near $44,800 area and trying to push lower. However, the price is still residing above the Kumo Cloud on the daily chart.
Image: Bitcoin 4 Hour Chart
According to the 4-hour chart, Bitcoin broke below and currently trading around $44,800 area. As per the current scenario, if the price can break below $44,000 to $43,500 support area with an impulsive bearish candle, the bears may decline further towards $41,800 to $41,500 area in the process. On the contrary, if the price bounces upside from the dynamic level and had a close over $45,500 to $45,700 area, the bulls may recover higher towards $47,500 to $48,000 area in the coming days.
Furthermore, the dynamic level of 20 EMA is currently residing below the price. It may work as strong support to push the price upward. Also, the MACD lines are currently residing above the 0.00 level and had a bearish crossover. It indicates that the bears may sustain the bearish pressure further in the days ahead.
BTC May Revert Back to the Mean
According to the daily chart, Bitcoin broke below, but the overall bias is still bullish. As per the current price action, if the price retraces towards $40,000 to $39,000 support area and bounced upward with an impulsive bullish candle, the bulls may sustain the bullish trend towards $47,500 to $48,000 area as a first target. The second target will be $52,000 to $53,000 area if the price breaks over $47,500 to $48,000 area in the coming days.
Image: Bitcoin Daily Chart
In addition, the dynamic level of 20 EMA is currently residing below the price. Along with the Kijun line and the Tenkan line. So, the dynamic level may act as a strong support to push the price upside. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the process.
To conclude, as long as the price residing over the dynamic level, the bias will remain bullish. A daily close will help to identify the definite momentum in the coming days.