Bitcoin: More Selloff Likely
Naeem Aslam | Jun 08, 2021 03:36AM ET
Bitcoin price is falling out of love once again and it seems like that bulls are losing more grounds. Bitcoin price has slipped further from its critical range of 38 to 35K, and now it seems like that the price may be retesting the 30K price level once again.
Speaking from a technical price point perspective, traders need to keep their eyes on the 30 minute time frame as this is the most important time frame for the time being. This is because on this time frame, we are likely to see the bullish signs emerging first. The price has moved far away from its 50-day SMA, and a retracement trade is on the cards.
In addition to this, we also see that the RSI is way oversold and this means that the Bitcoin price is likely to see some bounce back in its price very soon.
As for the daily time frame, the price continues to trade below the 50, 100 and 200-day SMA and as long the price continues to trade below these moving averages, we are unlikely to see any change in the current momentum.
Support Zone: 29,086 to 32,284
Support Zone 2: 25,663 to 29,086
Resistance zone: 50,634 to 47,777
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