The Risk of Bitcoin Price Below $7000

News / 02.01.2020

Following the current bearish signals indicated by the bitcoin prices that estimate between $7,300 to $7,260, concerns are raised regarding the fall below $7,000. The bitcoin value has been declining steadily within the past sessions under support at $7,320 value, which also settled the 100 hourly simple moving average. 

Concerning the BTC value within the past days, the value transaction could not surpass $7,320. Although the price tried to increase and stabilize above the $7,300 value, the prices could not be maintained above a $7,260 level. Despite the current analysis projected under $7,300 and the 100 hourly SMA, the Bitcoin value swung a high close to $7,235 that preceded the decline supported at the $7,200 value. As a result, additional declines were expected to fall under $7,150 all through $7,100. The price value of BTC raises concerns on the critical levels presented in the future trends of the digital currency. 

Expected Fall

Basically, the BTC/USD pair can barely maintain support above $7,120 and $7,000 and needs a recovery of over $7,240 and $7,400, considering expectations of a significant fall. The current valued price is under $7,111, which represents its last low swing. Results of the bearish strategies employed predict the next session prices to fall under the support of $7,000. 

As the more weaknesses continue to present themselves following the $7,000 support, the values are expected to fall as low as the $6,800 support zones. Hurdles formed close to $7,180 on the BTC chart are fostered by the bearish channels applied. Following this insight, the values need to rise above the $7,260 hurdle channel and the 100 hourly simple moving average

Current Bitcoin Declines

Following the resistance area of Bitcoin against the USD assessed on 24th December, a decline correction from a $7,700 support reached values below $7,400 as well as $7,300; as a result, the support value tries to stabilize under $7,260 and the 100 hourly SMA. Also, the 23.6% Fib replacement levels presented from the current drop of the support value from $7,700 to $7,160 is closely reaching $7,260, and the BTC value is continuously consolidating losses. The 100 hourly simple moving average is also affected and showing close positioning to the $7,300 support. 

With this insight on the falling levels of the Bitcoin value, a successful break can only be presented if the support values rise above $7,240 and $7,300, presenting a stable increase. 

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Dacosta Osei-Tutu, a first degree holder in Nursing, who couples his Nursing career with blockchain blogging, has a great passion for the blockchain technology and aims to play a vital role in applying this revolutionary technology to disrupt the healthcare system in Africa.