Bitcoin price analysis: BTC/USD drops below $8,000 and nears $7,500
- The bears took BTC/USD down to $7,450 when the bulls took charge of the market.
- Technical analysis shows that the overall sentiment of the market is bearish.
BTC/USD sellers were in full control this Tuesday as the price dropped from $8,110 to $7,665. Bears were on full control as soon as the markets opened this Tuesday, as they took the price down from $8,110 to $7,950. After that, the price trended horizontally for a while before the market crumbled under selling pressure again as BTC/USD went down from $7,910 to $7,600, losing 4% of its value within one hour. The market then found support on the $7,600 line for three sessions, before the sellers retook charge and took the price down further to $7,450. This seemingly woke the bulls up as they took hold of the market and brought it back up to $7,665 over the next two sessions.
BTC/USD daily chart
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- BTC/USD is trending below the 20-day simple moving average (SMA 20) curve.
- On the downside, the nearest support level lies at $7,405.
- The latest session has not yet touched the lower band of the 20-day Bollinger band which hints that the price may fall even further.
- The signal line has diverged away from the moving average convergence/divergence (MACD) line, hinting increasing bearish momentum.
- The Elliot oscillator shows six straight bearish sessions.
- The relative strength index (RSI) indicator is trending at 47.5.
Author
Rajarshi Mitra
Independent Analyst
Rajarshi entered the blockchain space in 2016. He is a blockchain researcher who has worked for Blockgeeks and has done research work for several ICOs. He gets regularly invited to give talks on the blockchain technology and cryptocurrencies.
