- Bitcoin is not dead yet, not as long as it stays above $6,000.
- BTC/USD is capped by the critical resistance level at $6,400.
Bitcoin hit $5,777, the lowest level of 2018 before buyers came in and saved the day. The digital coin No. one got back above $6,000 late on Sunday, to trade at $6,137 at the time of writing. With no apparent reason, the upside looks like a technical correction from new lows, and it is not clear, whether it will have legs.
Meanwhile, long-term investors are back with their traditional call to put things into perspective as the coin is still 140% higher than this time last year. It means that those who bought the in June 2017 are in profit. However, it is a weak consolation to short-term speculators who poured into the market by a dozen.
Famous Bitcoin bull Brian Kelly from BKCM LLC says that the drop is painful, but it is not unusual for cryptocurrency markets.
"And bear markets, we don't know where they end," Kelly said. "It doesn't mean that bitcoin can't go lower. But this is by no means the funeral for bitcoin," he explained at CNBC.
Bitcoin technical picture
BTC/USD stays within the downside channel with the upper line created by Andrew's pitchfork, currently seated at $6,400. If the bulls manage to clear this area the upside may be extended towards $67,000, however this development seems unlikely at this stage. On the downside, another attempt below $6,000 may lead to a retest of recent lows at $5,777.
BTC/USD, daily chart
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.
Recommended Content
Editors’ Picks
Shiba Inu price stagnancy brings investors’ losses to a 28-month high

Shiba Inu has been rather dormant these past four weeks, which is bearing a negative impact on the investors. The meme coin market has been struggling to make headlines as the lack of increase in altcoin’s market value has left investors in peril, which is now driving them to pull back and wait until SHIB starts rising again.
LDO sees lowest cumulative volume in ten months as Lido DAO price struggles to breach key barrier

Lido DAO price is up over the past day as the market shifted its stance despite the SEC announcing a delay in the spot Bitcoin ETF applications of BlackRock among other applicants. However, this one-day rise is not enough for the likes of LDO that have been failing in recovering for a few weeks now.
THORChain leaps 12% with soaring open interest as RUNE targets a peak of its current range

THORChain is testing a crucial multi-month obstacle after a remarkable climb. The move has completed the altcoin’s recovery rally following the 15% fall of September 27. RUNE has outperformed the broader market, with Bitcoin and Ethereum recording only up to 3% in daily gains.
Chainlink and Australia’s ANZ Bank issue AUD-stablecoin to successfully test interoperability

Chainlink put itself on the map with the help of its real-time data-feeding Oracles and is now in the spotlight for its interoperability protocol. Through this protocol, the blockchain project intends to not only connect two or five chains but also create the world’s largest liquidity layer, starting with Australia’s second-largest bank.
Bitcoin: BTC recovery rally could be bull trap in disguise, here’s why

Bitcoin (BTC) price remains unfazed even after the multiple spot BTC ETF delays from the US Securities & Exchange Commission (SEC). But investors need to be careful with the ongoing BTC rally as it could be a trap for early bulls.