FX.co ★ Bitcoin: deeper correction still possible

The price of Bitcoin dropped to 22,770 on Saturday, where it found demand again. Now, it has rebounded and is trading at 23,378. Technically, the crypto signaled exhausted buyers and a potential larger correction in the short term.

In the past 24 hours, BTC/USD gained 0.70% but was down by 6.05% in the past 7 days. Bitcoin's sell-off forced the altcoins to drop as well.

BTC/USD Retesting The Sellers!

BTC/USD escaped from the range between 25,212 and 23,369 signaling a deeper drop. Now, the crypto came back to test and retest the broken downside obstacle. Technically, after its last drop, a temporary bounce back is natural.

The weekly pivot point of 23,860, the median line (ML), and the upper median line (uml) represent upside obstacles.

BTC/USD Outlook!

Testing and retesting the immediate resistance levels, registering only false breakouts may announce that the temporary rebound ended. As long as it stays below the descending pitchfork's upper median line (uml), BTC/USD could extend its downside movement. Temporary rebounds should bring new short opportunities. The median line (ml) acts as a magnet and it could attract the price.