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Bitcoin (BTC) price is in a downtrend as buyers make concerted efforts to keep BTC price above the moving average lines.
Bitcoin Price Long Term Forecast: Bearish
Today, Bitcoin is turning down from the 21-day moving average line. In the past 48 hours, buyers have made two unsuccessful attempts to keep the BTC price above the 21-day line SMA. First, on September 27, the BTC price recovered and rose above the 21-day line SMA.
The upward momentum extended to the high of $20,385. The largest cryptocurrency has the advantage of advancing to the previous highs, but buyers could not sustain the upward momentum. Bitcoin retreated sharply to the current support.
Yesterday, buyers pushed the price to the high of $19,791 and then retreated. Since September 21, Bitcoin has been forced to trade between $18,210 and $20,000. On the downside, sellers will try to lower the BTC price and regain the previous low at $17,605.
Bitcoin (BTC) Indicator Reading
Bitcoin is at level 45 of the Relative Strength Index for the period 14. It is in the downtrend zone, but is currently trading in a narrow range. The price bars are below the moving average lines, which makes the cryptocurrency vulnerable to a decline. Meanwhile, the 21-day line SMA and the 50-day line SMA are sloping horizontally, indicating a sideways movement. Bitcoin is below the 20% area of the daily stochastic. This means that the market has reached an oversold area.
Technical Indicator
Key resistance zones: $30,000, $35,000, $40,000
Key support zones: $25,000, $20,000, $15,000
What is the next direction for BTC/USD?
Bitcoin is in a range-bound move below the moving average line. The upward movement was slowed down by the 21-day line SMA. The downtrend will continue if sellers break the support at $18,210. However, the sideways movement will continue indefinitely if the current support holds.
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 in funds.