The price of Bitcoin may Retest Recent Lows if it Breaks under $7,120
Bitcoin and the entire cryptocurrency markets experienced some turbulent moments in recent times. However, following the moments, Bitcoin remained within a firm and tight trading range, thereby making it to engage in consolidation in the previous several days.
According to analysts, the boundary of this trading range that the price of BTC can break may provide remarkable insight into the direction of Bitcoin and the entire cryptocurrency markets for the first part of next year.
At press time, the price of BTC was on the upside by more than 4% at $7,440, marking a remarkable surge from its daily lows of $7,140 established yesterday prior to a wave of selling pressure that led to the upsurge some hours ago today.
Later in the day, BTC will achieve its weekly close, which normally establishes the direction for weeks ahead. As Bitcoin approaches this close, there is likelihood of its price action to be more volatile while bulls and bears struggle to overpower themselves.
The moderate volatile signals today ensued following a multi-day moment of sideways trading that appeared due to the recent volatility of BTC that led to $7,600 highs from lows of $6,400.
According to a renowned crypto analyst known as FlibFlib on Twitter, BTC is revealing certain signs of bullishness on lower time frames as it moves close to its weekly close.
$BTC Starting to look like it has a bit of life in it on lower time frames.
Would be nie to get a rally off the back of a nice looking weekly close in the green.
Alas, one can only wish for what they want for Christmas. pic.twitter.com/w6oYaz2EXP
— fil₿fil₿ (@filbfilb) December 22, 2019
Another renowned crypto analyst known as cryptoBirb also explained the way the trading range of Bitcoin at the moment may provide remarkable insight into the trend of BTC in 2019.
If struggling to find optimized stop-loss levels for $btc you can use PSAR (Parabolic Stop And Reverse) to help you decide.
Closing 4h or HTF candle below 7120 leans towards 6800s.
Expect volatility around the weekly close.
Love yall, stay blessed pic.twitter.com/6CmIMIqeCz
— Crypto₿irb (@crypto_birb) December 22, 2019
His chart shows that following a surge over $7,300, there may be a break of the hurdle at $7,900. However, if it rejects the upper boundary of its trading range, it may bring about a new move down to the $6,000 zone.
Fatured image courtesy of Shutterstock. Source: CryptoPress.