Bitcoin: Big Correction Ahead

Bitcoin: Big Correction Ahead

2021-09-07 • Updated

Bitcoin has gained more than 60% since the middle of July and reached $50.000. At the moment it looks like the trend lost its momentum and the crypto market will face a big correction. Let’s check the chart and determine potential targets and buyback levels.

Technical analyses

Long term period:

4H chart

BTCUSDH4.png

Bitcoin is moving in the rising channel. Last time it couldn’t reach the upper border of this channel, which is the first potentially negative signal. Moreover, there is a divergence on the RSI oscillator occurred.

Short term period:

30min chart

BTCUSDM30.png

Bitcoin has formed the falling wedge pattern with the RSI divergence and the potential target at $49.700. In this case, a good choice might be to wait for the wedge breakout and open a long trade after.

If Bitcoin plays out the scenario with the falling wedge pattern and goes towards the previous high, the potential short entry point will be in the $50.000-$50.500 range. Otherwise, as soon as Bitcoin breaks through the bottom line of the channel the price will go towards $44.000 and lower.

Resistance range: $ 50.500 – 50.500

Support levels: $47.300; $44.000; $42.000; $40.000

TRADE NOW

Similar

Rally Is Not Over For Risk Assets
Rally Is Not Over For Risk Assets

What is happening? In December 2021, the main question on global markets was: “When will the FED increase the key rate?” Traders and investors were transferring their capitals into USDs, waiting for the great dump worldwide…

One Dump to Crash Them All
One Dump to Crash Them All

Starting on December 3 cryptocurrency crash caused panic on the market. Further Bitcoin movements are foggy, but we can manage to peek behind the crypto market’s curtains and figure out what to do.

Latest news

What To Trade On May 23 - 27?
What To Trade On May 23 - 27?

Last week blew traders' minds!  The US dollar dropped for the first time in seven weeks after Jerome Powell's speech on Tuesday…

Can a recession be avoided? 
Can a recession be avoided? 

The pandemic continues hurting economic activity in China, the war in Ukraine is hitting the entire European economy, and the Fed's efforts to control inflation threaten to trigger a recession. 

Deposit with your local payment systems

Be on top of your game

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera