Technical analysis of Bitcoin price Tuesday, March 13, 2018

The price of Bitcoin continues under a lot of pressure, falling back 4.83% to reach $ 9239, the point in favor is that it has not broken $ 9000.

Highlights of the analysis

  • The price of Bitcoin seems to have trouble breaking through the broken neckline of the double lid.
  • This indicates that the bears are still very strong and could push the price down to low or extended levels.
  • The technical indicators are also reflecting a slowdown in bullish pressure.
  • The price of Bitcoin could have more losses in the cards, since it did not manage to go through an area of interest.

Technical indicators

The 100 SMA is above the 200 SMA in the longer term to indicate that the path of least resistance is upward. However, the gap between moving averages is narrowing to indicate a bullish momentum that is fading and a possible downward bust. These moving averages are also close to the area of interest of around $ 10,000 to increase their strength as a roof.

The price of Bitcoin could fall to the next extension of Fib at the minimum swing or the extension of 50% at $ 8176.8. The extension of 61.8% is at $ 7775.2 then the extension of 76.4% is at $ 7278.2. The full extension is $ 6474.9.

The stochastic is in motion to show that sellers have the upper hand, but the RSI seems to be heading north. Going down even more could attract the bears to the mix and lead to a continuation of the decline.

Market factors

The US dollar was actually weaker against its peers, but the price of Bitcoin could not take advantage of it. Reports that a great player nicknamed “the Tokyo whale” has been selling massive amounts of the cryptocurrency are being blamed for the recent crash, but there are also rumors that he has stopped pulling Bitcoins.

As it turned out, a former Bitcoin exchange administrator Mt. Gox sold more than 35,000 Bitcoins worth $ 400 million to pay creditors who still need to liquidate the remaining 166,000 Bitcoins.

Meanwhile, the US currency has to deal with its retail sales and CPI reports, and traders appear to be preparing for weaker-than-expected results. If so, adjustment expectations could be a blow and allow BTCUSD to recover.