Bitcoin Is Pinned Below $8,000 After Bulls Lost Control

As the weekly close is coming to an end, the latest Bitcoin news show that the price of the most dominant cryptocurrency has fallen below $8,000. Right now, Bitcoin is pinned at $7,996 and it no longer rides along the 20-MA of the Bollinger Band indicator on the 4-hour chart.

Basically, it is clear that Bitcoin is losing steam and now struggles to break through $8,200 as its trading volume dries up. All of this suggests that a move on either side is imminent. Aside from all this, there are many other indicators in the crypto news which suggest a move to the downside, from where the bulls will need to push Bitcoin to a close above $8,200 as soon as possible.

Even a retest of the $8,000 price margin that suggests Bitcoin is pinned below it would be positive for the cryptocurrency. In contrast, if the Bitcoin news show that BTC is heading to lower marks such as $7,800 – traders could be in trouble and there could be a potential risk for BTC hitting $7,500 or even $6,500 in the imd term. However, what’s interesting is that as an asset, Bitcoin is the top performing one this year.

According to analysts, Bitcoin remains in a stalemate between the bearish and bullish sentiments. The 111 day exponential moving average (EMA) is aligned with the 50% Fibonacci retracement level at $6,600 and the volume profile visible range (VPVR) indicates purchasing demand from $6,300 to $6,700.

Of course, there is always the possibility that a surprise drop of $1,000 like the one which occurred weeks ago will once again occur – and that Bitcoin will bounce from this point and find support.

The MACD, which is an indicator that lags behind an asset and its price action, shows that Bitcoin is pinned and remains bearish. Assuming that BTC breaks above $8,200 soon and the descending channel trend line at $8,250, a move to the 200-MA at $8,700 could occur.

While all of this may be encouraging for the bulls, the volume is relatively stagnant and Bitcoin still trades under $8,200 so there is still a big chance of rejection at the overhead descending channel trendline. In times when the Bitcoin price news are such as these, smart traders need to remember that Bitcoin is pinned and there is a strong chance of rejection.