Bitcoin dropped and stands at 54,461 level after failing to take out the immediate resistance levels. The bullish outlook is still intact as the price continues to stay above the short-term uptrend line.
Technically, a new lower low and a breakdown through the uptrend line signal a corrective phase which may be normal after reaching a fresh all-time high of 61,788. Fundamentally, Bitcoin could drop in the short term after the rumors that India's government plans to ban cryptocurrencies in the country.
BTC/USD Corrective Phase?
BTC/USD dropped after registering a downside breakout from a minor symmetrical triangle and after failing to make a valid breakout above the descending pitchfork's upper median line (uml).
The price has found support right on the 53,000, above S1 (53,509) and 53,221 former lower low and now is struggling to get back higher. Technically, it could register a minor rebound before challenging the uptrend line.
A valid breakdown through 53,221 and below the uptrend line may signal a larger drop in the short term within the descending pitchfork's body. The immediate resistance is seen at the upper median line (uml), only a valid breakout above it validates a further increase and invalidates a corrective phase.
Bitcoin Tips & Forecast!
A bearish closure under 53,000 today's low and violating the uptrend line signals further drop towards the S1 (49,659) and S3 (46,116) levels.
The descending pitchfork's median line (ml) could still attract the price as long as BTC/USD is traded under the upper median line (uml).
