Last week, we suggested monitoring Bitcoin (BTC/USD) around the $11,500 area for resistance. There was a confluence of resistance factors here, including a previous resistance pivot, moving averages, and a falling channel resistance. Plus the RSI was approaching 60, and a market in bearish correction would likely keep the daily RSI under 60.
BTC/USD Daily Chart
- The daily chart shows price finding resistance between $11,500 and $12,000.
- We can also see that the dip is about to break below a rising flag pattern.
- A clear break below $10,000 could send price back towards the $6000 level, although we should monitor a few levels as support as we mentioned in the previous update.
- I will list them again here:
1) $9,900-$10.000 (Support here means bulls are still in control. But a break below does not necessarily mean bears are in control)
2) $8,800-$9,000 (Support here is important for a bullish scenario. If it does not hold, we are likely still in a sideways market.
3) $7700 (Last line of defense for a bullish reversal scenario. A break below suggests the market is still in sideways/bearish mode)