Bitcoin (BTC) Faces Strong Rejection as Bitcoin Fluctuates Below $47,000 – August 10, 2021
Following the breakout on August 6, the bulls overcame the resistance at $42,299 to reach the $47,000 resistance. Buyers could not sustain the bullish momentum above the $47,000 high. If buyers have succeeded, Bitcoin would have rallied to the $50,000 psychological price level. The bulls will not have an easy way as they face stiff opposition at the high of $50,000. Nevertheless, if the bulls again clear the $50,000 or $51,500 resistance zone, Bitcoin will rally to the $60,000 price level.
On the downside and today, BTC price is falling as bulls fail to sustain above the $47,000 high. The bearish scenario is that if the BTC price falls and breaks below the $42,299 support, the crypto will fall into the range-bound zone of $31,000 and $40,000 price levels. The bullish scenario is that if price falls and finds support above $42,299, Bitcoin will continue the upside momentum. Today, Bitcoin is falling but it is trading at $45,531 at the time of writing.
Gold Market Crashes as Bitcoin Holds Strong
On Monday morning, in the Asian trading session, Gold prices dropped below $1,700 per ounce. This has compounded the losses accumulated over the week. Presently, Gold is down by 4% over the past seven weeks and 8.7% since trading above $1,900/oz at the end of May. According to the reports, the precious metal has retreated to 8% in 2021, and it is down by 14.6% from its August 2020 all-time high of just below $2,040. Presently, 1 BTC is worth 25 ounces of gold. Bitcoin is down 28.5% from its all-time high against gold. Nevertheless, 1 Bitcoin was worth 15.5 ounces of gold at the start of 2021.
Meanwhile, the BTC/USD is falling and it has found support above the 21-day SMA as Bitcoin fluctuates below $47,000.. The uptrend will resume if the 21-day SMA support holds. BTC price will rise to retest the $47,000 resistance. A break above the resistance will signal the resumption of an uptrend. Nevertheless, on August 8 uptrend; a retraced candle body tested the 78.6% Fibonacci retracement level. The retracement indicates that Bitcoin will rise but reverse at level 1.272 Fibonacci extension or level $47,430.40.
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