Bitcoin Price Analysis: BTC Continues To Be Resilient As Economy Tanks – Are We Headed Above $7,000 Next?

By Yaz Sheikh
Published March 23, 2020 Updated March 23, 2020
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Bitcoin Price Analysis: BTC Continues To Be Resilient As Economy Tanks – Are We Headed Above $7,000 Next?

By Yaz Sheikh
Published March 23, 2020 Updated March 23, 2020
  • Bitcoin dropped by a total of 4% over the past 24 hours but managed to find support at $5,786 as it bounces back above $6,000.
  • The cryptocurrency is holding strong whilst the world economy continues to collapse.

Bitcoin fell by a total of 4% over the past 24 hours of trading. It had dropped much further lower but managed to find strong support at $5,786 which allowed the cryptocurrency to rebound higher and break back above $6,000.

The cryptocurrency is proving to be extremely resilient as it continues to stabilize whilst the rest of the economy around the world continues to fall further lower.

Bitcoin Price Analysis

BTC/USD – Daily CHART – SHORT TERM

BTC/USD. Source: TradingView

Market Overview

Analyzing the daily chart above, we can see that bitcoin failed to close above the resistance at $6,175 again which caused the market to roll over yesterday and fall. Luckily, it found support at our previously highlighted .5 Fibonacci Retracement level which is priced at $5,786.

The cryptocurrency rebounded from here to climb back above $6,000 as it currently trades at around $6,088.

Short term prediction: NEUTRAL

Bitcoin remains neutral and would need to close above $6,500 before we can consider a very short term bullish trend. 

Toward the upside, the first level of strong resistance lies at $6,175. The coin has struggled with this resistance over the past 4-days of trading and failed to close above here on each attempt. Above this, resistance lies at $6,542 (bearish .5 Fib Retracement) and $7,000.

If the buyers continue to drive even further above $7,000, resistance lies at $7,100, $7,174 (bearish .618 Fib Retracement), and $7,270.

On the other side, support is located at $5,786. This is followed with support at $5,600, $5,500, and $5,467 (.618 Fib Retracement).

Key Levels

Support: $5,911, $5,786, $5,600, $5,500, $5,467 $5,200, $5,000, $4,800, $4,672, $4,577, $4,139, $4,000, $3,912, $3,500, $3,436..

Resistance: $6,174, $6,542, $6,700, $6,800, $7,000, $7,174, $7,200, $7,270, $7,500, $7,676, $8,000, $8,073, $8,250, $8,461, $8,672, $8,979, $9,000, $9,100.

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Yaz Sheikh
182 Articles
Yaz is a cryptocurrency technical analyst and has been actively trading financial markets for over 7years, with 4 years of crypto experience. He is an Economics graduate who has taken a keen interest on the future potentials of blockchain in the financial industry. Aside from cryptocurrency and trading Yaz enjoys spending his time watching his favourite football team (Liverpool F.C.) compete as well as keeping up-to-date with the UFC. Follow him at @TcmYaz.

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