What the rejection at $19,000 now means for the Bitcoin price
|- Bitcoin price has breached the $19,000 price zone.
- BTC price was rejected from the 8-day exponential moving average
- A double scenario is now underway, and key levels have been identified.
Bitcoin price gives into the bearish vice grip as the bulls have abandonded ship near the $19,000 support zone.
Bitcoin price heads south
Bitcoin price has validated last month’s trade idea as the bears have successfully breached the $19,000 barrier. Last month, the 1-1 reward to risk ratio was issued while the Bitcoin price hovered directly over the 200-Week Moving Average (WMA).
Bitcoin price currently auctions at $18,756. Amidst the 26% downtrend (since the summertime highs at $25,211), the bears have shown a persistent uptick in volume. The 8-day Exponential Moving Average rejected the bullish re-entrance of the $20,000 barrier and catalyzed the final 5% decline into the current market value.
Bitcoin price now has a double scenario in play. More declines could occur on the bearish side of the coin, targeting the June 18 swing low at $17,622. If market conditions persist, the Bitcoin price is already on its way toward its target. Such a move would result in an additional 7% decline from the current market value.
On the contrary, the massive liquidity breach could give power to institutional and smart money operatives looking to trap retail bears. A hurdle over the $20,200 zone could induce a recovery rally toward the 200-Week Moving Average at $23,178, resulting in a 23% increase in the Bitcoin price.
In the following video, our analysts deep dive into the price action of Bitcoin, analyzing key levels of interest in the market. -FXStreet Team
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.