Latest Technical Analysis On Bitcoin

Bitcoin just came off its biggest flush since the bear market of 2022. This coincided with one of the biggest flushes seen in the stock market in years. This again proves that when panic hits, investors sell everything. Bitcoin flushed and even gold saw selling for a day or two during the panic.

Bitcoin flushed from a high of $70,000 on July 29th to a low of $49,000 on August 5th. This is an insane decline of 30% in a week.

Since that decline, Bitcoin has rallied back above $60,000. This is a key psychological level. If Bitcoin can build a base and stay above $60,000, it likely will make an attempt at pushing back to $70,000.

Interestingly enough, the bounce from $49,000 to $60,000 is exactly a 61.8% Fibonacci retrace of the move from $70,000 to $49,000.

The bias on Bitcoin remains slightly bullish as long as price remains above $60,000. Should it move back below, it is vulnerable for a retest of the $49,000 level. Below that $43,500 lurks. If Bitcoin makes a run at $70,000 and breaks, the all-time high should be tested and broken.

Watch closely in the coming week for fear to creep back into the stock market. If that happens, be on alert for Bitcoin to struggle.