BTC/USD Breaks Below Wedge Support Level, is $7,500 USD Imminent?

Bitcoin
Bitcoin

BTC/USD Breaks Below Wedge Support Level, is $7,500 USD Imminent?

  • BTC/USD drops below falling wedge pattern support as bears charge towards $7,500 USD.
  • Bitcoin set to fall further as technical indicators turn bearish.

Bitcoin (BTC) has always been the driver of the market and the current downtrend does not draw a rosy picture to the future of the cryptocurrency market. Since spiking above $10,000 USD in late October, Bitcoin price has witnessed a drawdown in the market sentiments and volumes traded, switching the technical indicators bearish.

Bitcoin on road to $7,500; price crosses falling wedge support

Bitcoiners are looking at the daily candle charts with anxiety waiting to see the close of the current daily candle to determine the possible direction in the coming days. Looking at the charts, a nice falling wedge pattern has formed on the daily candles in the past three weeks taunting a possible bullish reversal. But it may not be given the current selling pressure from miners.

BTCUSD

Testing wedge resistance at $8151 USD on Nov. 18, BTC/USD gave hope to investors of a possible breakout above the level reaching an intra-trading high of $8,546 USD. However, the price has since retraced to $8,131 USD, as at time of writing, worrying investors of a possible break below the support level.

BTC/USD technical indicators turning bearish

If the price closes below support, BBTC/USD bull will be in for a torrid time in the coming days. The MACD line is also widening apart from its signal line showing bearish signs. This signals a possible drop towards the $7,800 and $7,500 major support levels.

bb btcusd

Notwithstanding, a quick glance at the Bollinger bands (BB) on the 1D timeframe, gestures a possible continuation of the bearish trend as the price crossed below the lower BB.

Images from TradingView

Summary
BTC/USD Breaks Below Wedge Support Level, is $7,500 USD Imminent?
Article Name
BTC/USD Breaks Below Wedge Support Level, is $7,500 USD Imminent?
Description
BTC/USD drops below falling wedge pattern support as bears charge towards $7,500 USD. Bitcoin set to fall further as technical indicators turn bearish.
Author
Publisher Name
CoinGape
Publisher Logo
Coingape is committed to following the highest standards of journalism, and therefore, it abides by a strict editorial policy. While CoinGape takes all the measures to ensure that the facts presented in its news articles are accurate.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Author: Lujan Odera

Been in the field since 2015 and he still love everything blockchain and crypto! FC Barcelona fan. Author and journalist. Follow him at @lujanodera.

Post your comment...
Lujan Odera 90 Articles

Been in the field since 2015 and he still love everything blockchain and crypto! FC Barcelona fan. Author and journalist. Follow him at @lujanodera.

Follow Lujan @