Bitcoin Price Analysis: BTC/USD Miraculously Defends This Flag Pattern On Bybit Margin Trading

Bitcoin
Bitcoin

Bitcoin Price Analysis: BTC/USD Miraculously Defends This Flag Pattern On Bybit Margin Trading

  • Bitcoin defends $7,800 averting the danger of a possible breakdown to $7,400.
  • In the long-term, Bitcoin remains bullish with a possible falling wedge pattern breakout.

Bitcoin has for the second time this month defended the at $7,800. However, this is not a cause for celebration as the majority of analysts believe that this year’s bottom will be around $6,000. On the contrary, it is good to celebrate small victories that eventually win the war.

The brief reversal seen yesterday saw Bitcoin reclaim its position above $8,000. Unfortunately, movement above $8,100 remained largely contained. This hindered upward movement leaving the bulls not only demoralized but also vulnerable to the jabs thrown by the sellers. Eventually, the support at $8,000 caved in allowing a short-lived dive towards $7,800.

BTC/USD daily chart

BTC/USD price chart
BTC/USD price chart by Tradingview, Bybit

On the brighter side, $7,800 a previous support (last week) had high congestion of buyers who immediately pulled Bitcoin above $7,900. This move defended the flag pattern support at $7,800. Twice Bitcoin bulls have attempted a breakout above $8,800 (flag resistance limit) but failed miserably. If the correction made it under $7,800, the chances of Bitcoin plunging to $7,400 would be great.

Bitcoin Long-term Outlook for Long Traders

As for Bitcoin’s long traders, the current movement is unfavorable. However, the forming falling wedge pattern dictates that a significant recovery is underway. A breakout above the range resistance will place Bitcoin in a trajectory towards $9,000 and $10,000 levels respectively.

Consequently, Bitcoin is heading into a death cross pattern. A pattern that occurs when the 50 MA crosses below the 100-day MA. This pattern is interpreted as bearish but history has seen Bitcoin bounce incredibly leaving the sellers trapped in what they thought was a downtrend.

Bybit Bitcoin contract last traded price currently stands at $7,958. They have a marked price of $7,953 at the time of writing while the index price stands at $7,953. The exchange has recorded 535,681,752 contracts in the last 24-hours.

Trade Bitcoin on Bybit ->

Bitcoin Technical Levels

Last price: $7,954

Support: $7,800, $7,700 and $7,400.

Resistance $8,000, $8,200, $8,400 and $8,800.

Trend: Bearish (short-term)

Summary
Bitcoin Price Analysis: BTC/USD Miraculously Defends This Flag Pattern On Bybit Margin Trading
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Bitcoin Price Analysis: BTC/USD Miraculously Defends This Flag Pattern On Bybit Margin Trading
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Bitcoin defends $7,800 averting the danger of a possible breakdown to $7,400. In the long-term, Bitcoin remains bullish with a possible falling wedge pattern breakout.
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Author: John Isige

John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

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John Isige 281 Articles

John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

Follow John @