- Bitcoin (BTC) corrects higher from its swing low of $6,559
- BTC to encounter several hurdles over the $6,900 mark
- Bitcoin is still at risk of more downtrends in the near term
Bitcoin News Today – Bitcoin has been stuck below the $7k region over the past day. The price of the digital currency is currently correcting from the swing low of $6,550 against the USD. Bitcoin (BTC) is currently testing the 100 hourly simple moving average but it appears it would have a hard time breaking over the $7k mark.
Bitcoin Is Locked below the $7k Region
About 24 hours ago, there was a sharp plunge in the price of Bitcoin (BTC) below the $6,800 mark against the USD. The price of the digital currency even plunged below the $6,700 mark and formed a new monthly low at $6,559. However, the digital currency started a fresh rally a few hours ago. It is now trading over the $6,800 mark after an increase of about 3 percent over the past day.
There was also a break over the 23.6 percent Fibonacci retracement level of the previous swing from the high of $7,220 to the low of $6,559. The immediate hurdle for the digital currency is close to the $6,900 mark and the 100 hourly simple moving average. The 50 percent Fibonacci retracement level of the major decline from the high of $7,220 to the low of $6,559 is also acting as a strong hurdle close to the $6,888 mark.
Bitcoin (BTC) Price Today – BTC / USD
If the bulls manage to break over the 100 hourly simple moving average, the next hurdle the digital currency would encounter is close to the $6,950 and $7k marks. There is also a formation of a major bearish trendline with a hurdle close to the $7,100 mark on the hourly chart of the BTC/USD trading pair. As such, Bitcoin (BTC) has several hurdles to deal with on the upside.
For Bitcoin to return to the positive territory, the bulls need to amass traction and push the price of the digital currency over the $7k hurdle point and settle over $7,100. Over that hurdle point, the next resistance on the upside is close to the $7,500 mark. A break over that level would pave the way for more gains towards the $8k mark.
What Will Happen If Bitcoin Fails to Break over $7k?
If BTC fails to continue its upside move over the $6,900 hurdle point or the 100 hourly simple moving average, another downtrend is inevitable. On the downside, the immediate support for the digital currency is close to the $6,750 mark. The digital currency could plunge heavily if it fails to hold gains over the $6,700 support zone. Below that level, the next support is close to the $6,560 mark, below which the bears are likely to push the price of the digital currency towards the $6,200 support zone in the near term.