Bitcoin at an $8K Fall as it Broke a Key Technical Pattern
Bitcoin (BTC) is currently struggling to gain bullish momentum above $9,200 against the U.S. dollar. Also, the BTC price is further dropping, and it might continue to decline towards $8,400 or $8,200.
In addition to that, BTC settled in support above the $8,400 level against the U.S. dollar following a sharp downside correction. The Bitcoin price rebounded excellently above $8,800 and $9,000. However, it experienced a keen selling interest almost at the $9,200 level.
Recently, it formed a high near $9,201, and the price is currently falling. Then, on the hourly chart entering a bearish zone, it broke a key bullish trend line with support at $8,980. Bitcoin even settled under the $8,900 level and the 100 hourly simple moving average.
Aside from that, it formed a low near $8,629, and the price is currently trying an upside correction. BTC is trading almost at the 23.6 Fib retracement level of the latest slide from the $9,201 high to $8,629 low.
Now, looking at the upside, an initial resistance of Bitcoin is near the $8,900 level and the 100 hourly simple moving average. Also, a key bearish trend line is building up with resistance near $8,900 on the same chart.
The trend line corresponds with the 50% Fib retracement level of the latest dipped from the $9,201 high to $8,629 low. In case there is a strong close over the trend line – the 100 hourly SMA and the $9,000 resistance -, the price might recover further.
The primary resistance of Bitcoin is around the $9,200 level. And this is a level where the bulls would possibly aim to test the $9,500 resistance in the near term.
On the other hand, BTC might further move down below the $8,7000 level. And initial support is near the $8,600 level, under which the price would likely slide towards the $8,4000 support.
Above all, if the bulls failed to defend the $8,400 support, there will be a risk for a more massive downside. And this downside will thrust towards the $8,200 level or the $8,000 handle in the near term.
In April, the Ripple co-founder Jed McCaleb sold over 54 million XRP. But still, based on his wallet activity, he has billions left to sell.
In the known wallets for the co-founder, it shows that he sold these 54 million XRP between April 1 to 30.
Then, in a report, McCaleb seems to be liquidating his supply of tokens on a regular basis. The data displayed that the wallet address purportedly used by McCaleb to sell XRP received at least 1.8 million tokens daily in April. As a result, it totaled to 54,215,405 XRP or $11.7 million.
According to a report, the Stellar CTO still has billions of XRP tokens available in his wallets, almost 4.7 billion as of February 2020. Moreover, some have some concerns in the way McCaleb’s behavior might influence the XRP price. He responded by saying that he has been selling his XRP in a not-so-fast, steady rate. Also, the co-founder has no written plans to affect other companies in the industry negatively.
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