Bitcoin dropped in the short term after reaching the level of 50,562 in yesterday's session. It was trading at 48,097 after dropping by more than 5% from yesterday's high. Bitcoin is down 2.95% in the last 24h but it's still up 4.42% in the last 7 days.
BTC/USD is in a temporary decline. It demonstrates correction after registering an amazing rally. It could only test and retest the immediate support levels. The bias is still bullish, so we can still look for long opportunities.
BTC/USD temporary decline
Bitcoin has dropped after failing to stabilize above the psychological level of 50,000. It has nearly reached the weekly pivot point (47,676) which could represent static support. Technically, the price dropped to retest the fifth warning line (wl5) of the former descending pitchfork.
The bias is bullish as long as BTC/USD stays above the uptrend line. A false breakdown with great separation of a major bullish engulfing pattern could signal new bullish momentum.
BTC/USD Outlook
A bullish pattern here on the weekly pivot point or on the uptrend line could bring new long opportunities. The upward channel's resistance is seen as a major upside target.
The material has been provided by InstaForex Company - www.instaforex.com