- Bitcoin targets $11,200 amid the increasing selling pressure.
- Technically, Bitcoin is poised for more losses in the near-term.
Bitcoin continues to form a lower low pattern following the failure to breach the resistance at $12,155 during the trading sessions last week. A sharp drop occurred under both the 50 Simple Moving Average 1-hour chart and the 100 SMA 1-hour. The tentative support at $11,400 caved to the acute selling pressure.
A low was formed at $11,104 leading to a shallow recovery above $11,200. In spite of the correction above this level, $11,600 (100 SMA) remains unconquered. At press time, a building bearish momentum is pushing Bitcoin under $11,400 (50 SMA). Bitcoin is trading at $11,320 while targeting $11,200 support target.
Technically, Bitcoin is poised for more losses in the near-term. The Relative Strength Index (RSI), for example, is pointing downwards following the retreat from levels around 62. The Moving Average Convergence Divergence (MACD), in the same range, is increasing the negative divergence below the mean-line. The path of least resistance in a technical perspective is downwards.
BTC/USD 1-hour chart
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.