Bitcoin continues to face strong resistance at the $17,000 price ceiling. Over the last 24 hours, Bitcoin lost 2% of its market value. In the past week, BTC has hovered around the same price region. The King Coin has not touched the $17,000 price resistance band in more than two weeks.
At the moment, Bitcoin has a bearish bias. The technical outlook pointed towards the buying strength losing steam. It is, however, too early to predict when BTC will bottom out, which could mean that this consolidation phase will be extended.
The price of Bitcoin has been extremely volatile throughout November. BTC witnessed a fall from $21,000 to $15,500 during the first week of this month. The coin had again visited these lows in the past week. After touching the lows again, BTC regained some of its lost value and traded at $16,500. BTC is yet to breach two vital price levels for the bulls to take charge in the market.
Bitcoin Price Analysis: One-Day Chart
Bitcoin was priced at $16,200 on the one-day chart | Source: BTCUSD on TradingView
BTC was trading at $16,200 at the time of writing. The bulls have tried to break past the $17k mark but have met with rejection each time. The constant rejection has halted the further upward movement of the coin as it ascended from $15,500 to $16,800.
The immediate resistance mark for Bitcoin remained at $16,600. In a shorter time frame, Bitcoin has been forming a constriction pattern. If Bitcoin continues to face rejection at the $17,000 mark, it will fall through the $15,500 level and trade close to the $14,000 price. The two important levels for Bitcoin stand at $16,600 and $17,000, respectively.
Bitcoin registered a decline in buying strength on the one-day chart | Source: BTCUSD on TradingView
BTC has depicted a fall in buyers on the daily chart. The Relative Strength Index was below the 40-mark, indicating that the coin was in the grasp of the bears. It indicated that sellers were more than buyers.
The BTC price was below the 20-Simple Moving Average, which highlighted selling strength and showed that sellers were driving the price momentum in the market. If BTC breaches the $17,000 level, it remains important for the coin to trade above the $17,200 level; failing to do that, the price action can quickly reverse.
BTC depicted a buy signal on the one-day chart | Source: BTCUSD on TradingView
BTC has slowly started to form a buy signal on its one-day chart. This indicates that Bitcoin might try to reclaim the $17,000 mark if buyers act on it.
The Moving Average Convergence Divergence underwent a bullish crossover and formed green signal bars corresponding to the buy signal. Bollinger Bands depict price fluctuation and volatility, the bands were narrowed in anticipation of further price movement constriction in the shorter-time frame.
Featured image from Unsplash, Chart: TradingView.com