Bitcoin Price Technical Analysis for 09/29/2016 – Sitting on Resistance Turned Support

Bitcoin Price Key Highlights

  • Bitcoin price is still treading sideways, moving above a resistance turned support level at $602.
  • Price has formed lower highs on the 15-minute chart, suggesting that bullish pressure is weakening and that bears are trying to push for a move lower.
  • For now, the area of interest is holding quite well since it lines up with the 100 SMA dynamic support.

Bitcoin price is hovering above a resistance turned support area visible on the short-term time frames, still deciding whether to make a bounce or a break.

Technical Indicators Signals

The 100 SMA just recently crossed above the longer-term 200 SMA on this time frame, suggesting that the path of least resistance is to the upside. Also, the 100 SMA is holding as dynamic support and keeping losses in check, with the next potential floor at the 200 SMA just close by.

However, stochastic is pointing down to suggest that sellers are still in control of bitcoin price action for now. In that case, a downside break of this consolidation pattern could be in the cards, taking the cryptocurrency down to the next support at $595.

Stronger selling pressure could take bitcoin price to the spike lower to $582. On the other hand, a

Read more ... source: NewsBTC USA