By Franklin Smith
Briefly –
- Bitcoin touched another all-time peak on 9 November.
- Technical indicators appear to depict weakness.
- Bitcoin has near-term support at $66,300, then $63,500.
Bitcoin seems to be near its near-term surge peak or hovers at it. Meanwhile, the long-term price trend stays massively bullish.
Bitcoin stalled after witnessing a considerable uptick on 8 November. Though the dominant coin touched an ATH the following day, it entered a decreasing path since. The plummets followed weaknesses by technical indicators.
The MACD and the RSI displayed bearish divergences. That shows that the technical indicators did not accompany the price surges. Such developments often result in trend reversals. Therefore, daily time frame technical indicators show weakness despite the ATHs.
Near-Term Movement
According to the 6-hour price chart, Bitcoin overpowered a symmetrical triangle before attaining its ATH price. For now, the crypto seems ready to validate its previous ATH at $63.3K as support. If it succeeds, it will translate to a bullish case that would trigger more highs. If now, BTC will secure its next support level at $63,500.
Wave Count
The wave count indicated that Bitcoin is near or touched its wave one’s top. Meanwhile, the range in $70,400 – $71,840 remains the likely top area. That is because of the confluence of multiple Fibonacci levels. Meanwhile, sub-wave five’s length is more than sub-wave one. With that, the digital token has higher possibilities of exploring its local top at the moment.
Market players can expect a retracement period. With that, Bitcoin might secure its initial support level at $57,600. It is the 0.382 near-term Fibonacci retracement support level target. However, the asset has its primary support territory inside the $53,300 – $54,150 price range, formed by the near-term 0.5 Fibonacci retracement support and the long-term .382 level. Moreover, it is horizontal support. However, it might be a massive footing as many supports exist in the area.
For now, Bitcoin has a higher probability of rallying higher. That is because the token flipped its previous record highs into a support level. Though the positive case, technical indicators started showing weakness. What are your thoughts about the current Bitcoin condition? You can share your views in the comment area below.