Bitcoin Price Technical Analysis for 07/21/2016 – Bears Gaining Control!

 Bitcoin Price Key Highlights 

 

• Bitcoin price was previously trading inside an ascending channel before making a break lower, indicating a reversal from the short-term uptrend.

 

• For now, technical indicators are suggesting that the uptrend might still carry on but that could change soon.

 Technical Indicators Signals 

 The 100 SMA is still above the longer-term 200 SMA so the path of least resistance is to the upside. However, bitcoin price moved below these moving averages so a downward crossover could be imminent. If so, selling pressure could increase and take bitcoin down to the next area of interest. 

 Price is currently stalling at a former resistance level around $665, which might hold as support moving forward.

 If so, bitcoin price could pull up to the broken channel support at $670 before resuming its drop. 

 Market Events 

 The US dollar appears to have emerged as one of the stronger currencies these days, thanks to strong US fundamentals and the return in risk aversion. Speculations of additional easing from major central banks is also drawing stronger demand for the safe-haven US dollar. 

 Apart from that, uncertainty in the global economy seems to be subsiding so traders might be letting go of their bitcoin holdings to pursue traditional assets like equities and currencies once more. 

source: newsbtc

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