Bitcoin (BTC) price analysis: BTC hovers under $7,700, vulnerable to further losses

Bitcoin is rangebound with bearish bias under $7,700.
A sustainable move above $8,000 is needed to improve the technical picture.

Bitcoin (BTC) has been controlled by sellers since the weekend. Unsuccessful attempts to settle above critical $8,000 triggered a sharp sell-off and took the price to $7,511 during Sunday hours. While the coin managed to recover to $7,674, it is still vulnerable to further losses.

Bitcoin’s technical picture

On the intraday level, the initial support for BTC/USD is created by an intraday low of $7,522 strengthened by the lower boundary of 1-hour Bollinger Band. This barrier is closely followed by Sunday’s low of $7,511 and the psychological level $7,500. A sustainable move below this handle will open up the way towards the next bearish aim of $7,330 (the lower boundary of 1-day Bollinger Band) and psychological $7,300 strengthened by the lower line fo the previous consolidation channel.

On the upside, the first resistance lies with $7,800 (SMA200 - Simple Moving Average - on 4-hour chart). Once it is cleared, the recovery is likely to gain traction with the next focus on critical $8,000 supported by SMA50 (4-hour chart). We will need to see a sustainable move above this barrier to improve the technical picture. The next resistance comes at $8,250, created by a SMA100 (4-hour). It is closely followed by and an upper line of the above-said channel on approach to $8,300.

BTC/USD, 4-hour chart

Share: Cryptos feed

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.