Bitcoin Faces Further Price Losses After Breaching Long-Term Support

Bitcoin is on the defensive for the fourth straight day and may be facing a further drop toward $9,050.

Jul 24, 2019 at 10:15 a.m. UTC
Updated Sep 13, 2021 at 11:13 a.m. UTC

Bitcoin is on the defensive for the fourth straight day, having breached long-term support on Tuesday.

The leading cryptocurrency by market value is currently trading at $9,720, representing a 1.1 percent drop from today's opening price of $9,841, according to Bitstamp data. Prices fell 1.39, 2.56 and 4.66 percent, respectively in the previous three trading days.

Daily chart

CoinDesk - Unknown

With a three-day drop, BTC has left another bearish lower high at $11,120. Further, the cryptocurrency violated the four-month bullish rising trendline by printing a UTC close well below $10,000 on Tuesday.

As a result, a drop to the July 17 low of $9,049 in the short-term cannot be ruled out.

Such a drop would hardly be surprising, given the bounce from that level to weekend's high of $11,120 was accompanied by falling volumes, as discussed yesterday.

So far, the downside has been restricted around $9,650, meaning the support at $9,614 (July 2 low) is still intact.

However, that level could be breached soon as key daily chart indicators like the moving average convergence divergence histogram indicating the bearish momentum is gathering strength.

The case for a drop toward $9,650 would weaken if prices rise above $10,222, invalidating a bearish lower highs pattern on the 4-hour chart. That said, a UTC close above $11,100 is needed to confirm a bullish reversal.

Bitcoin image via Shutterstock; chart by TradingView

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
CoinDesk - Unknown
Justin Sun Still Thinks Algorithmic Stablecoins Are a Good Idea

The crypto mogul also said LUNA and UST might make good "meme coins," he said on CoinDesk TV’s “First Mover.”

The crypto mogul also said LUNA and UST might make good "meme coins," he said on CoinDesk TV’s “First Mover.”

CoinDesk - Unknown
2
CoinDesk - Unknown
Former BitMEX CEO Arthur Hayes Sentenced to 2 Years Probation

Hayes pleaded guilty to one count of violating the Bank Secrecy Act (BSA) in February, and faced a sentence of up to 12 months in prison.

Hayes pleaded guilty to one count of violating the Bank Secrecy Act (BSA) in February, and faced a sentence of up to 12 months in prison.

CoinDesk - Unknown
3
CoinDesk - Unknown
Market Wrap: Cryptos Decline Amid Choppy Trading, DeFi Tokens Underperform

Aversion to risk remains as volatility returns to stocks and cryptos.

Aversion to risk remains as volatility returns to stocks and cryptos.

CoinDesk - Unknown
4
CoinDesk - Unknown
Travis Kling on Why a Decentralized Web 3 Is Worth Fighting For

Plus more about Ikigai's new Web 3 venture fund.

Plus more about Ikigai's new Web 3 venture fund.

CoinDesk - Unknown