BTC Price Sharply Plunged Below $8,300 In Few Hours
In the previous week, BTC’s price began a steady rise above the $8,700 and $8,880 resistance levels against the USD. It gained traction and even managed to rise above the key $9,000 resistance.
However, the price faced a strong resistance close to the $9,200 region and the 4-hours 100 simple moving average (SMA). There is this formation of a critical bearish trend line, with resistance around $8,700 on the BTC/USD 4-hours chart.
BTC seems to have failed to clear the trend line, $8,700 resistance, as well as the 100 SMA. Hence, there was a sharp decline below the $8,500 level and the price is currently down by 8%. The largest crypto by market cap is trading below the $8,300 level at press time. If BTC fails to protect the $8,250 support level, there is a risk of further decline.
On the upside, if the $8,250 support level remains intact, BTC price could begin an upside correction. An initial resistance on the upside is around $8,400, above which the bulls could take over. if there is a clear break above the trend line, and the $8,400 resistance, it could trigger a strong rally towards the $8,600 and $8,800 levels in the near term. Overall, the BTC price action is now bearish and it might slide further towards $8,000.
Featured image courtesy of Shutterstock. Source: Cryptopress.