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Bitcoin price may continue to decline

Dec 18, 2019 Forex News

For three days, the price of Bitcoin fell by 7.5%, losing all the profits it earned in early December due to the growth of Bitcoin from $7100 to $7500.

The last three-day candle closed below 200MA, in contrast to the hammer at the end of November, which reached a minimum below support but closed higher.

The latest breakdown of the main support is supported by the bearish RSI indicator below 50 and the downward 5MA and 10MA. Thus, it is more likely to fall below $6500 (November low). The next support is at $6400.

On the daily chart, the RSI is held at 32. This suggests that there is a place for a deeper decline. The MACD also shows deeper bars below the zero line - a sign that the downward movement is gaining strength.

A close above $7870 is needed to nullify the bearish lower highs and confirm the short-term change in the bearish trend to the bullish one.

RSI on the hourly chart rose above the oversold level, signaling a possible price rebound. The 4-hour RSI also indicates oversold.

Thus, we cannot exclude a slight correctional growth to the resistance of about $6800- $6900 until the further decline.