Bitcoin [BTC/USD] Technical Analysis: Support levels hold as last bastion against bear’s attacks

Bitcoin [BTC] recently saw an attack of the bear move the price downwards to the $6,400 range, testing crucial support levels. Even now, the coin continues to rest on one of these supports, with bearish pressure threatening the precarious position of Bitcoin’s price.

1-hour:

The short-term outlook for Bitcoin shows that there is an uptrend from $6,220 – $6,395, with an accompanying movement from $6,330 – $6,530. This was the pattern that predicted a bearish movement, which then saw the price move down from $6,530 – $6,485 – $6,405. A crucial support is present at $6,390, with a secondary support line at $6,220. A resistance is present at $6,530 as well.

The RSI is staying around the lower zone and might plunge into oversold to indicate a buying opportunity for the bulls of the market.

The Relative Vigor Index set for a bearish turn, as seen by the movement of the graph towards the downwards direction.

The Bollinger Bands have widened owing to the recent drop in price and might contract with decreasing volatility in the price of the coin.

1-day:

The long-term outlook for Bitcoin shows that a support uptrend has presented itself at the $6,270 – $6,405 marks, with the dominant downtrend still in power since the month of May, as seen by the price movement from $9,800 – $8,390 – $6,505. Supports are present at $6,145 and $5,850, with resistances at $6,525, $6,750, $7,335 and $8,385.

The Aroon indicator shows a reversal in the downtrend seen in the near past, with the uptrend beginning to lose power.

The MACD is demonstrating a bullish crossover movement, as seen by the movement of the MACD line above the signal line.

The Parabolic SAR is bearish, which is evidenced by the presence of the dots above the candlesticks.

Conclusion

The price of Bitcoin seems to be headed for a short-term retracement before falling back to established support levels, as the bear does not seem eager to reduce the force of its attacks on the coin. Supports are present at $6,390 and $6,220.