Bitcoin is in a Confined Range, Faces Rejection at the $45,000 High
Sep 27, 2021 at 09:03 //
NewsBitcoin (BTC) price is in a downtrend, struggling below the $45,000 resistance zone. Today, the BTC price has risen above the $44,000 price level, but buyers are struggling to maintain the bullish momentum.
The upward movement is doubtful as the BTC price has reached the overbought zone. Moreover, the cryptocurrency price is unstable as it has fluctuated between $40,000 and $45,000 in the past.
Bitcoin will resume its upward momentum if buyers break through the initial resistance at $45,000 and overcome the overriding resistance at $48,800. However, Bitcoin is falling as it faces rejection at the resistance zone at $45,000. This means that the cryptocurrency asset will remain in a trading range for a few more days. Bitcoin is likely to fall and retest the psychological $40,000 level. The downtrend will continue if the bears break the $40,000 support.
Bitcoin indicator reading
BTC/USD is at the 45 level of the Relative Strength Index of the period 14. It is in a downtrend zone and below the midline 50. The cryptocurrency is in the downtrend zone and is capable of falling downwards. Bitcoin is above the 80% area of the daily stochastic. This indicates that the market has reached the overbought zone. Currently, the BTC price is falling as the market has reached the overbought region.
Technical indicators:
Major Resistance Levels - $65,000 and $70,000
Major Support Levels - $40,000 and $35,000
What is the next direction for BTC/USD?
On the 4-hour chart, Bitcoin is moving in a range between $40,000 and $45,000. The cryptocurrency will change when the fluctuation range is broken. In the meantime, the BTC price is on the descending path. The bears might want to retest the support at $40,000. Bitcoin will fall to the low of $37,000 if the current support is broken.
Disclaimer. This analysis and forecast are the personal opinions of the author and 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
