Bitcoin approaching critical support zone $61,400
-
Bitcoin failed to break above 65000 mark and attracts sellers.
-
Correction approaches significant area of support 1000 points away aligned with 61800-61400.
-
Bulls need to defend this zone for renewed bullish streak.
-
Failure to hold the support will extend deeper pull back to next leg lower at 57400.
Bullish rebound took a break at 65000 mark where sellers entered with some maths in their minds as they aim to buy at better bargain down there.
Two days of consistent price correction has reached 62200 and support sits close by, at 61800 and 61400.
Bulls will have to defend this zone if they have anything in the back of their minds to resume the bullish streak right from somewhere this area.
If sellers remain dominant and adamant for more, this support may give way and in this event, if this area fails to hold as support, bulls will have to wait with pain as next significant support needs a dig deeper into 57400 where bears may prefer to collect their share of the pie and bulls may make up their mind once again to accumulate fresh long positions in anticipation of resumed bullish rally that reaches 65000 mark in near future.
On the flip side, a consolidation above 63500-63800 will indicate presence of buyers and bullish rally may resume with 65000 being the first required station.
Author
Sunil Kumar Dixit
SK Charting
Sunil Kumar Dixit is Chief Technical Strategist and founder of SK Charting, a research firm based in India. He tracks Precious Metals, Energy, Indices and Currency Pairs. He also participates as an expert panellist on Channel Television, Nigeria.
