Bitcoin – The Bulls Take a Break as the Bears Eye $6,300 LevelsBitcoin’s back in the red and looking to avoid testing sub-$6,400 support levels, the markets going back into reverse after Thursday’s rallies.
Bitcoin slipped by 0.9% on Friday, partially reversing Thursday’s 3.69% gain, to end the day at $6,631.2, losses from earlier in the week leaving Bitcoin down 1.17% for the current week.
It was a choppy day for Bitcoin, with upward momentum from Thursday’s rally continuing into the early hours, Bitcoin breaking through the 23.6% FIB Retracement Level of $6,757 and the day’s first major resistance level at $6,818.37 to an intraday high $6,826.4 before hitting reverse, resistance at $6,800 to great ahead of the weekend.
While Bitcoin managed to recover to a slide back to sub-$6,600 levels to have a relatively range bound afternoon, an early evening fall saw Bitcoin hit an intraday low $6,541.9 before recovering to $6,600 levels, the late in the day low coming within reach of the day’s first major support level at $6,510.07.
The pullback from $6,700 levels was a continued theme through the week, with Bitcoin last holding on to $6,700 levels last Sunday, with any attempted breakouts from the 23.6% FIB Retracement Level of $6,757 continuing to be cut short.
The minor losses relatively to the likes of Bitcoin Cash on Friday saw Bitcoin’s dominance remain relatively steady at 52.1%, while the crypto market cap eased back to $219.49bn, Thursday’s market wide rally failing to continue through Friday into the weekend.
Things were relatively silent on the crypto news wires, leaving investors to consider what lies ahead, the lack of direction leading to some profit taking, Bitcoin’s Friday reversal ultimately leading to the losses for the current week.
At the time of writing, Bitcoin was down 1.94% to $6,506.2, with Thursday’s late pullback continuing into the early hours of this morning, Bitcoin falling from a start of a day morning high $6,635.1 to a morning low $6,454.2 before recovering to $6,500 levels.
The early pullback saw Bitcoin fall through the day’s first major support level at $6,506.6, while avoiding sub-$6,400 levels and the day’s second major support level at $6,382, with the day’s first major resistance level at $6,791.1 left untested.
For the day ahead, a move through the morning high to $6,666 would be needed to support another run at $6,700 levels to bring the 23.6% FIB Retracement Level of $6,757 and the day’s first major resistance level at $6,791.1 into play, though for Bitcoin to take a run at the 23.6% FIB, the crypto news wires will need to remain friendly to support a shift in sentiment later in the day.
Failure to move through the morning high to hold above $6,666 by the early afternoon could see Bitcoin take a bigger hit later in the day, a pullback through the first major support level at $6,506.6 to $6,400 levels bringing the day’s second major support level at $6,382 into play before any recovery.
Elsewhere, the majors were all in the red, with Monero’s XMR and Bitcoin Cash taking the biggest losses, Monero’s XMR down 4.15% and Bitcoin Cash down 3.77% at the time of writing.