Bitcoin Price Trend Headed Lower Short Term
$9131 Broken, Headed to $7856
We drew two horizontal lines on the Bitcoin chart to show where key support/resistance formed. The arrows show you how these two price levels accounted for major turning points or breakout and breakdowns in Bitcoin.
The lower horizontal support line is $7856 which would be about 6% lower than the current Bitcoin price of $8351.
We would guess Bitcoin will drop and test that next key support line and from there we can reassess.
A snap back above $8351 would be needed not to be bearish about the short term trend.
News matters for Bitcoin but what probably matters more is the price itself. Since there are so many new traders and tons of emotion, price trends matter. Identifying the trend is critical in trading in general and Bitcoin in particular. Short term the trend has turned negative so we're now looking for Bitcoin to reach $7856.
All investments have many risks and can lose principal in the short and long term. The information provided is for information purposes only and can be wrong. By reading this you agree, understand and accept that you take upon yourself all responsibility for all of your investment decisions and to do your own work and hold Elazar Advisors, LLC, and their related parties harmless. Model portfolio trades and positions are hypothetical to be used for directional analysis and ratings purposes. Elazar and its employees do not take individual stock positions to avoid front running and other potential customer related issues.