Bitcoin Price Analysis: BTC Failed Breakout Puts It In a Predicament – Are We Headed Lower This Weekend?

• Bitcoin dropped by a total of 3% over the past 24 hours as it trades at the $6,732 level.
• The cryptocurrency continues to try to break above the upper boundary of an ascending triangle but looks to have failed again.

Bitcoin failed to break the upper boundary of the current consolidation pattern once again as it fails to close above the $6,800 level. The cryptocurrency started the day off by trending higher toward the $7,000 level only to roll over and fall lower to trade back inside the triangle.

This marks the second day in a row that Bitcoin has failed to break above this ascending triangle as it looks to set up another few days of negative price declines beneath $6,800. A break above this triangle would have set Bitcoin up to reach the $8,000 level, however, this is looking less and less likely with each failed breakout attempt.

Bitcoin Price Analysis

BTC/USD – Daily CHART – SHORT TERM

Market Overview

Taking a look at the daily chart above, we can clearly see Bitcoin failing to break up above the upper boundary of this ascending triangle. Today, it went as high as $7,000 but went on to roll over and drop back beneath the $6,800 level.

The candle is still yet to close, however, it does look unlikely that the bulls will end up closing above this resistance.

Short term prediction: NEUTRAL

Bitcoin still remains neutral whilst it trades within the confines of the triangle. 

The first level of support is now located at $6,542. Beneath this, support lies at $6,400, $6,100 (.382 Fib Retracement), $6,000, and $5,786 (.5 Fib Retracement).

Toward the upside, resistance lies at $6,800, $7,000, $7,174 (bearish .618 Fib Retracement), $7,270 (1.414 Fib Extension), and $7,500.

Key Levels

Support: $6,542, $6,100, $6,000, $5,911, $5,786, $5,636, $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: $6,800, $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.