Bitcoin Retests $16,400 Resistance Twice but Fails to Break Above It
Nov 16, 2020 at 14:18 //
NewsToday, BTC has rallied to $16,385 high but faces rejection at the $16,400 resistance zone. In retrospect, on November 13, Bitcoin faced similar rejection at this price level as the king coin plunged to $15,725 low.
The crypto corrected upward but resumed sideways move between $15,725 and $16,120 for three days before the recent rally.
On November 13, Bitcoin bulls failed to break the $16,400 resistance level. Today, buyers are still struggling to break the resistance level. On the upside, if buyers are successful, BTC will reach a target price of $17,200. However, if buyers fail to break the resistance, the coin will fall into the previous range bound zone of $15.725 and $16,120. Meanwhile, BTC is trading at $16,289 at the time of writing.
Bitcoin indicator reading
Bitcoin is trading at level 73 of the Relative Strength index period 14. It indicates that the crypto is in the overbought region of the market. Sellers are likely to emerge. The price bars are above the SMAs whereas the SMAs are sloping upward indicating the upward movement of the coin.
Key Resistance Zones: $13,000, $14,000, $15,000
Key Support Zones: $7,000, $6,000, $5,000
What is the next direction for BTC/USD?
BTC has chances of further upward movement to the previous if the current resistance at the level at $16,400 is breached. On November 7, the last retraced candle body from the previous uptrend tested the 50% Fibonacci retracement level. This gives the impression that the coin will rise and reach the level 2.0 Fibonacci retracement level.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @coinidol.com By Coin Idol, @Khareem Sudlow