- Resistance Zone: $66200 to $67320
- Key Resistance: $63000
- Major Pivot Point: $58500
- Key Support Level: $52810
- Support Zone: $48900 to $47900
- Last Analysis Date: Blue Vertical Lines
- 200 Day EMA – Green Line
- 50 Day EMA – Red Line
Trade Insights – XBT/USD –Viable Long positions above the Pivot at $58500 targeting the Key Resistance at $63000 first and then Resistance Zone at $66200 to $67320
Alternatively, Short positions below the Pivot on the chart at $58500 to first retest the current Key Support at $52810 the Support Zone at $48900 to $47900.
XBT/USD Daily Chart
Directional bias: 2 Weeks XBT/USD
BTC has failed twice to stay above the $65000 level now. After peaking at around $66000, it has dropped significantly in the last couple of sessions. In other words, since our last analysis, the XBT/USD pair has now found a proper resistance zone on the chart. What is more, the Chart has found a new Key Resistance zone in the past month at $63000. As of now, the prices are just above the Pivot and apparently heading towards the Key Resistance Level.
If the Key Resistance level is broken, which is quite doable and after consolidation. BTC can advance towards the Resistance Zone at 66200 to 67320 for the third time and probably can break it. Fibonacci extensions level of resistance for the Bulls after this is $138.2%. That is $77000 price and the next level higher is at 161.8% at $83402.
The pair is trading just above the 50-Day EMA now. It is well above the 200-day EMA lines indicating the Bullish bias of the market. However, the drop this time over from the Resistance zone is significant. Just in 2 sessions, the prices were retrieved from $66500 to $58600. There is quite a possibility of prices dropping below the pivot. And it's heading south towards the key support level at 52810. It seems the market is just waiting for the right catalyst to decide the direction of the XBT/USD Pair.
Bitcoin seems to move out of the Greed trajectory of investors to more neutral and move in the horizontal sideways channel just between the Resistance Zone and above the Pivot level on the chart. The defunct Bitcoin Exchange Mt. Gox that lost the investors 141,686 Bitcoins is now able to return the coins to the rightful owners. It has triggered the recent drop in the BTC.