- Bitcoin is rangebound with a downside bias.
- Experts wait for institutional money to flow in and support the market.
Bitcoin has been moving within a short-term upside channel since it reached the local bottom at $7,058 (May 29). The coin has gained 8% but failed to get back above $8,000 handle, which makes it vulnerable to new losses. Moreover, the coin No.1 slid back below $7,683, which is 23.6% Fibo of the decline from $11,567 to $6,483, to trade at $7.640 at the time of writing.
The local support is created by $7,600 with 100 and 200-SMA (hourly chart) at $7,590 and $7,578 respectively. If this area is broken, the downside may be extended towards $7,460 (lower line of the short-upside channel). On the upside, the resistance is spotted at $7,700 with the ultimate bullish goal at $8,000.
While BTC/USD is down 45% since the beginning of the year, some experts believe that it will experience a strong rise and clear $10,000 in the coming months.
"As the regulatory landscape clears up we can expect far more investors, including big-ticket institutions, to make their first cryptocurrency investments," Iqbal Gandham, the UK managing director of the investment platform eToro in the interview with The Independent.
BTC/USD, the hourly chart