$11800 possible as BTC starts another retrace

01 Jul, 2019
by Lourens Pepler
Price Analysis
$11800 possible as BTC starts another retrace

This weekend we saw Bitcoin hitting tough resistance twice near $12000, before continuing with its decline towards the $8500 level. With BTC currently sitting above $11K, this could indicate that BTC has one more retrace to $11800 possible before the next dip to $8500 takes place. This is the BTC analysis for 1 July 2019.

Highlights:

- $12000 strong resistance

- RSI finding minor support

- $11800 level to watch

- Main target still $8500

Starting off with a 1 hour chart to take a look at price action, we can see that the brakeout point to the downside near $12000 acted as strong resistance. Price briefly managed to reach a high of $12400, before falling back below $12000.

BTC/USD chart provided by Tradingview

Moving over to a 4 hour chart and looking towards momentum on RSI, we can see that BTC has returned to the downtrend that we had from last week and that the downtrend line proved as strong resistance for momentum, which caused price to not push too far past $12000 during its retrace.

At the moment RSI is finding support on the middle of this downwards trend channel. We also notice that RSI is making a higher low, which could indicate that BTC is ready for another retrace to the top of this the downtrend line on momentum, bringing price to our target for today of $11800.

A push up in momentum would also bring the RSI to near 50, which would act as resistance. As we know, during a downtrend 50 RSI acts as resistance.

BTC/USD chart provided by Tradingview

Lastly on the hourly chart, we take a look at some support levels. $10500 seems to be the main support for now, since BTC has not been able to breach below it this past week. If this support is broken before we get the retrace to $11800, then we will surely see BTC fall further down towards our target area of $8500.

BTC/USD chart provided by Tradingview

Do you agree that Bitcoin is still heading towards $8500, or is the fact Bitcoin does has not gone below $10000 indicating that BTC is ready for new highs? Let us know what you think in the comments below!

Disclaimer: Keep in mind this not investment or trading advice, just the opinion of our analysts. As always, do your own research, make your own decisions.

Follow Chepicap now on Twitter, YouTubeTelegram and Facebook!

Poll

Will Bitcoin see $8500 again?

(83 votes)

Add a comment

Check out the latest news

You will be logged out and redirected to the homepage