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06 Dec 2019
2 min read

BTC/USD Price Outlook

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Written by OspreyFX News Team

*OspreyFX would like to state that traders should research extensively before following any information given hereby. Please read our Risk Disclosure for more information.

BTC/USD Price Outlook:

  • Bitcoin remains firm in a rangebound near the $7,400 mark.
  • Bearish dominance will strenghten if the price goes below November’s lows.

Hovering in a rangebound near $7,400

The “king of cryptocurrency” remains steady around $7,378 after reaching a high at the $7,761.78 level, where a resistance zone has been established. BTC continues to trade below the 200 SMA, but it is hovering in the 50 SMA, waiting for a clear direction in the short term.

However, the negative stance still dominates the price action since mid-October, and it looks like such bias may take control in Bitcoin. Furthermore, a resistance level prevails in the mentioned highs. This is a hurdle that guards the 200 SMA, which is the next key dynamic barrier.

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The 200 SMA as the next tough nut to crack

Once such an area is broken by the bulls’ force, the focus will be on the $8,325.45 threshold. Which would be the line in the sand for the bullish bias. However, a breakout above this point should open the doors to test the psychological zone of $9,000.

An interesting scenario could arise in the coming days. If the BTC/USD pair consolidates above such a handle, a golden crossover of the moving averages at the 4H Chart could happen. Thus giving the bulls a boost to reach new highs.

The next target after reaching $9,000 lies at $9,351.59. A level that acted as strong resistance in the first week of November.

Bears targeting levels below $6,000?

On the negative territory, the next support is located at $7,377.97, where a breakout should occur to allow an extension of the bearish wave towards the lows from November at $6,989.36. Should that level give up, the bears will resume the overall bias towards $6,640.27. The bears’ dominance should strengthen once Bitcoin pierces below the aforementioned level, with the next target placed at $5,668.98.

According to the technical oscillators, the RSI indicator is still in a neutral area. The same scenario is seen in momentum, which has no clear path.