Bitcoin is down again today, but the low did stall against a lower channel trendline. It gives the buyers some hope

  


The lower trend line comes in at $6601 currently.

The price of bitcoin tumbled yesterday after finding sellers near the 100 hour MA (blue line) and a topside trend line (using Coinbase and a 7-day chart).  The holding of that ceiling at red circle 3, gave sellers to go ahead, and they took the price lower.

The lower trend line comes in at $6601 currently.

What now?

The move lower continued today with the price down another $175 currently at $6693.01. The low for the day reached down to $6626.51.  At the low, the digital currency tested its lower channel trendline (from the topside trend line) at $6621 (at the time).  The current trend line comes in at $6605 (and moving lower).    

The price is also getting closer to the November low price of $6526.  

With the trend line and the November low price in play, traders looking for a dip to buy, might look to lean against the level with stops on a break below. Risk can be defined and limited. 

However, understand that a break of the lower trend line and the November low should solicit more stop selling. So be careful, but risk can be defined. 

ForexLive



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