Bitcoin (BTC) is falling below moving average lines after breaking through the critical 21-day SMA support.
Bitcoin price long-term prediction: bearish
The largest cryptocurrency is expected to fall as it trades in a bearish trend zone. Moreover, the price suggests that the cryptocurrency will continue to fall.
A decline occurred on August 21 when a declining candlestick body tested the 61.8% Fibonacci retracement level. The retracement predicts that Bitcoin will fall to the 1.618 Fibonacci extension level, or a low of $105,388.60. Buyers will rally at the expected price level around the $105,000 support. Should the sellers succeed, the BTC price will fall even further to the psychological price barrier of $100,000.
Bitcoin is currently falling and has reached a low of $111,350.
Analysing the BTC price indicators
Bitcoin price has fallen below both the 21-day SMA as key support and the 50-day SMA. This shows the potential for a cryptocurrency crash. Despite the cryptocurrency’s decline, the moving average lines remained horizontal.
On the 4-hour chart, the price bars are lower than the downward moving average lines. The cryptocurrency price will fall as long as the price bars are below the moving average lines.
Technical indicators
Key supply zones: $120,000, $125,000, $130,000
Kry demand zones: $100,000, $95,000, $90,000
What is the next move for Bitcoin?
Bitcoin price has fallen after reaching a high of $124,517 on the 4-hour chart. The largest cryptocurrency reached a low of $112,000 before finding support.
The BTC price corrected upwards but was rejected at $117,000. After falling below the $112,000 support level, the cryptocurrency continued its downtrend. On the downside, the crypto signal is negative.
Disclaimer. This analysis and forecast are the personal opinions of the author. They are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol.com. Readers should do their research before investing in funds.
Source: https://coinidol.com/bitcoin-falls-and-faces/