BTCUSD Forecast: Bitcoin Price Might Decline Towards $6300 Levels

November 09, 2018 | AtoZ Markets

Bitcoin price is trading below $6,450 level with the 24 hours volume of $254M, in accordance with data. At the time of press, the coin has a market cap of $111.03 Billion.

In the last 1 Week, Bitcoin price has moved by $ 26.87 (0.4215%) with a total volume of over $ 1.60 Billion. The highest price of the coin, $ 6,562.79, was on 07 November 2018 at 04:00 GMT. The lowest price, $ 6,336.96, was on 03 November 2018 at 15:00 GMT.

Bitcoin Price Technical Analysis

A "Three outside down" bearish candlestick pattern has emerged in 1D timeframe with high reliability. This pattern is a more reliable addition to the standard Engulfing pattern. A bearish Engulfing pattern occurs in the first two candles. The third candle is a black one with a lower close than the second candle. The third candlestick is confirmation of the bearish trend reversal.

Recently, the price of Bitcoin started a downside correction and traded below the $6,500 support against the USD. The BTCUSD pair declined and broke the $6,475 and $6,440 supports. Moreover, there was a close below the $6,440 support and the 100 hourly SMA. The decline was such that price of the coin surpassed the 76.4% Fibonacci retracement level of the last leg from the $6,370 swing low to $6,553 high.

More importantly, yesterday’s highlighted key bullish trend line with support at $6,445 was breached on the 1H chart of the BTCUSD. The pair traded close to the $6,370 swing low and found support near $6,375. It corrected a few points and tested the 23.6% Fibonacci retracement level of the recent decline from the $6,552 high to $6,382 low.

At the moment, the price of the coin is consolidating above the $6,375 support. If buyers reappear, the price may test the previous support at $6,440 and the 100 hourly SMA. Above $6,440, the next resistance is $6,475 and the 50% Fib retracement level of the recent decline from the $6,552 high to $6,382 low.

Bitcoin price might trade in a range above the $6,375 support for a couple of sessions before the next move. However, it is likely possible that Bitcoin price might decline towards $6,300 in the short term.

  • RSI(14) is valued below 50 which signals "Sell" action in daily time-frame.
  • William%R – Buy signal on the daily time-frame.
  • MACD(12,26) – Buy signal in daily charts.
  • ATR(14) – signals that BCH is highly volatile.

Bitcoin Pivot Point

Bitcoin price is sustaining a strong daily support near $6,440 and resistance near $6,550 levels.

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