Bitcoin Price Key Highlights
- Bitcoin price seems to be having trouble sustaining its climb, as it started forming lower highs so far this week.
- A head and shoulders pattern seems to be forming, indicating a potential reversal if price breaks below the neckline around $570.
- If that happens, bitcoin price could drop to the next visible support around $540.
Bitcoin price might be in for a larger drop based on the short-term reversal formation but technical indicators are giving a different signal.
Technical Indicators Signals
The 100 SMA is above the 200 SMA so the path of least resistance is still to the upside. This suggests that the rising support level around $570 might serve as a floor, especially since it lines up with the 200 SMA dynamic support.
RSI is pointing up and might be ready to head north so bitcoin price could follow suit. Stochastic is indicating oversold conditions so sellers might need to take it easy from here and allow buyers to take control. If so, bitcoin could head back to the latest highs at $595.
Read more ... source: TheBitcoinNews