Bitcoin (BTC) – Bearish correction could be coming to its endPosted on Thursday, November 25 2021 at 9:30 pm GMT+0000
Bitcoin (BTC) edged higher on Thursday trying to recoup the losses posted in the preceding week. And although it managed to conquer the 38.2% Fibonacci retracement level of the September 21st – November 10th rally, it is still lying below the 55-day simple moving average.
From a technical perspective, the positively aligned 50- and 100-day simple moving averages are still safeguarding the 5-month bullish structure.
Oscillators are suggesting that the negative momentum accompanying the post-record pullback may be running out of steam. The MACD is slightly in the negative region but is flattening below its red signal line indicating that negative forces are somewhat subsiding. Also, the RSI shifted north setting the stage to exit the negative area.
Should the price continue its ascent in the coming sessions, clearing the 55-day simple moving average and most importantly the 60,000 level would reinforce positive tendencies mustering a profound upward drive to tackle the last cycle all-time high at 64,900 before heading towards the 69,000 peak.
On the flip side, if the latest improvement in sentiments proves short-lived, the price could fall initially towards the region between the 100-day exponential moving average currently seen around 53,850 and the September 7th high of 52,950. A bit lower, it could pause near the 61.8% Fibonacci level at 50,830. Should that obstacle break down too, the focus could turn towards the 78.6% Fibonacci level at 45,890 and the 39,600 September bottom.