- BTC/USD massive drop slipped below the 12 moving average exponentials (EMA) 15-minutes.
- In the short-term, BTC/USD has a bullish outlook but likely to stay within a ranging channel.
BTC/USD is calm following the sudden drop that sent it tumbling from the highs formed in April at $5,650 (on Coinbase). The Bulls lacked a catalyst to sustain the incredible uptrend that had a target set on $6,000. The exhausted buyers gave way to the sellers who did not waste time. BTC/USD massive drop slipped below the 12 moving average exponentials (EMA) 15-minutes. The price plunged further down below $5,400 before forming a weekly low at $5,374.11 (on Coinbase).
BTC/USD 15′ chart
The largest digital asset has witnessed a rebound above the 12 EMA. However, the momentum has lost momentum under $5,474. BTC is now trading lock-step within a ranging channel between $5,398.88 and $5,474.98.
There was a break above the sharp slopping trendline as well as the 12 EMA 15-minutes. As long as Bitcoin is able to sustain the price above this level, we could see the bulls gain more strength to pull the price above $5,500 and maintain the uptrend towards $5,600.
In the short-term, BTC/USD has a bullish outlook. In fact, the MACD in the same 15-minutes range is moving sideways in the positive region to show that the bulls have more influence. In addition to that, the RSI 15-minutes has been avoiding the oversold. On the upside, the indicator has not been able to reach the levels above 70.00. This means that the upside will stay limited below the range limit at $5,474.98.
Initial support has been established at $5,450. The level is cemented by the 12 EMA which is still trending upwards. Other support levels include $5,425.43, $5,398.88 and $5,374.11.
Bitcoin Key Technical Indicators:
MACD 15-minutes: 8.50
RSI 15-minutes: 58.82
12 EMA 15-minutes: $5,450
Resistance 1: $5,474.98
Resistance 2: $5,650
Support 1: $5,450
Support 2: $5,398.88
Support 3: $5,374.11