Bitcoin Price Technical Analysis for 09/20/2016 – Aiming for Next Support?

Bitcoin Price Key Highlights

  • Bitcoin price has been unable to establish a clear direction in the past few days as traders seem to be waiting for the top-tier catalysts.
  • On the shorter-term time frames, it can be seen that bitcoin price seems to be heading close to the support at $605.
  • A small reversal pattern can be seen so a bounce might be due but technical indicators are hinting otherwise.

Bitcoin price might be aiming for a bounce off the nearby support zone, although a downside break is also possible.

Technical Indicators Signals

The 100 SMA is crossing below the longer-term 200 SMA on its 15-minute time frame, suggesting that the path of least resistance is to the downside. If so, BTCUSD could attempt to break below the nearby floor at $605 for a test of the next support around $580.

Stochastic is turning down from the overbought zone to show that bearish momentum is building up. A candle closing below the recent lows at $607 could be enough to confirm this return in selling pressure.

On the other hand, a move past the dynamic resistance around the moving averages could lead to a climb up to the highs at $613. Further gains past that point could push

Read more ... source: NewsBTC USA