Bitcoin Price Prediction: BTC/USD Drops Below $7,000; May Likely Bounce Back from $6,000

Bitcoin Price Prediction: BTC/USD Drops Below $7,000; May Likely Bounce Back from $6,000

Bitcoin (BTC) Price Prediction – December 18

BTC/USD price is slowly approaching crucial supports and the bears need to be very careful once the price reaches the $6,200 support level.

BTC/USD Long-term Trend: Bearish (Daily Chart)

Key levels:

Resistance Levels: $7,500, $7,700, $7,900

Support Levels: $5,700, $5, 500, $5,300

BTCUSD – Daily Chart

BTC/USD has been struggling to maintain its position above $6,800 but its price saw another dive below the $6,700 mark today. The coin is in a dangerous position as the price slipped below the critical supports. If the breakthrough is confirmed, the downside momentum will gain traction with the next focus on $6,300. At the time of writing, Bitcoin was trading below the moving averages of 9-day and 21-day at $6,610.95.

Moreover, looking at the price movement of BTC since the beginning of the year, we can see that the coin registered a growth of over 100%. BTC/USD started the year trading at $3,716.36 and reached $12,936 before starting the downward journey. The recent downtrend was such that the price even traded below the $6,600 support. It traded close to the $6,500 support level and a new monthly low was formed near $6,565.

However, should BTC price failed to move up; we may see a price cut to $6,000 vital support. A further low drive could send the price to $5,700, $5,500 and $5,300 support levels while the resistance levels to watch are $7,500, $7,700 and $7,900. The RSI (14) indicator suggested a probable bullish movement in the near future as the signal line is extremely within the oversold territory.

BTC/USD Medium – Term Trend: Bearish (4H Chart)

Looking at the 4-hour chart, the bears have been dominating the market tremendously, but the bulls are trying to defend the $6,500 support as well. Meanwhile, the $6,300 and below may come into play if BTC breaks below the mentioned supports.

BTCUSD – 4 Hour Chart

Meanwhile, in as much as the buyers can reinforce and power the market, traders may expect a retest at $6,800 resistance level above the 9-day MA and breaking this level may further allow the bulls to reach $7,000 and above. The RSI (14) is moving out of the oversold zone which may cause the market to turn bullishly in the near future.

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Remember, all trading carries risk. Past performance is no guarantee of future results.

Azeez Mustapha is a technical analyst with many years trading experience in the stock exchange and crypto markets. He has broad experience in forex trading, coaching, and funds management.