Main navigation

Bitcoin Price Analysis - Bearish Trap Is an Obstacle to $12,000 Retest

Price Predictions
Mon, 07/08/2019 - 08:43
article image
Denys Serhiichuk
??While trading sideways, Bitcoin has reached $200 Bln Market Cap. Our price analysis explains where BTC manages to close the week above $12,000 or not??
Bitcoin Price Analysis - Bearish Trap Is an Obstacle to $12,000 Retest
Cover image via www.123rf.com

Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of U.Today. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

Read U.TODAY on
Google News

After Bitcoin has bounced back from $10,000, its quotes keep locating around between $11,000 and $11,500. Currently, one can see that traders are taking a pause before retesting support levels below $10,000 or conquering $13,000 and $14,000 again.

Bitcoin market share
Bitcoin dominance by CoinMarketCap

Even though Bitcoin has already lost more than 5% per day, its market share remains at its highest levels in 2019. Currently, the dominance index makes up 62.3%. 

Now, let’s get to the technical part to analyze the future price movements of BTC.

BTC/USD 4-hour chart
BTC/USD chart by TradingView

Bitcoin is following our recent scenario, keeps trading sideways without sharp movements up or down.

After the breakdown of the upper boundary of the descending channel, the second declining minimum at $12,061, was formed. On June 28, the first such bearish pattern appeared at $12,448.

An unsuccessful attempt to overcome the mark of $12,000 happened due to the decreasing trading volumes, which continued even after the breakdown of the channel.

Related
Bitcoin Price Prediction: How Much Will BTC Cost in 2019? - Updated

The breakdown of the mark at $12,061 can give strength to buyers, aimed at the retest level of
$13,880. 

However, the upward movement must undoubtedly be accompanied by an increase in trading volumes.

BTC/USD daily chart
BTC/USD chart by TradingView

On the older timeframe, nothing fundamentally changed - the situation is still in the hands of buyers. The price was adjusted precisely to the minimum of 'Marubozu' - the day before yesterday candle without shadows, which served as a convincing confirmation of the bullish pattern 'Hammer'. An essential level of support has been formed at $10,830.

Artur Dzhalilov, CEO at Vexel also has points of view regarding the future rate of Bitcoin:

’At the moment, BTC on flat corridor between 10000-12000$, we expect that flat market will over at the end of July.’

Related
Bitcoin Price Prediction: How Much Will BTC Cost in 2019? - Updated

Given the current situation, the likelihood of passing $12,061 and zeroing a bearish pattern from lowering lows is high. 

However, anything can be on the cryptocurrency market, and if Bitcoin suddenly falls below $10,830, the next critical level of support will be $9,614.

The price of BTC is trading at $11,379 at the time of writing.

article image
About the author

With more than 5 years of trading, Denys has a deep knowledge of both technical and fundamental market analysis. Mainly, he has started his blog on TradingView where publishes all relevant information and makes predictions about top coins.
Thus, his experience is backed up by working in top blockchain related companies such as W12, Platinum Listing, ATB Coin, and others, can be contacted at denys.serhiichuk@u.today.