Market

Bitcoin Technical Analysis September 27th

Bitcoin (BTC) slumped in the week of September 29-26, dropping to $ 39,600 before bouncing up and forming a long wick underneath.

However, BTC trades within a short-term descending parallel channel from which an eventual breakout is expected.

BTC weekly outlook

BTC has fallen since breaking below the rising support line and then confirming it as resistance. This also coincides with the rejection by the super trend line (red line) which is bearish.

On September 26th, BTC created another bearish candle despite having a long wick at the bottom.

RSI and MACD show mixed signals. The MACD is in positive territory but is bearish and has not yet shown a bullish reversal signal. The RSI has risen above 50 but is not showing any strength.

Hence, it is necessary to look at the lower time frames to more accurately determine the direction of the future trend.

BTC / USDT weekly chart | Source: Tradingview

Try to regain support

The daily chart shows that BTC is facing resistance at USD 44,000. This zone previously served as a support in August and September before BTC broke out.

It attempted to retake the area on September 24, but was unsuccessful.

Similar to the weekly timeframe, technical indicators provide mixed signals. The MACD line is in positive territory but is decreasing. The RSI is moving up but has not yet crossed the 50 line.

The next support zone is at $ 38,000.

BTC / USDT daily chart | Source: Tradingview

Future movement

The six-hour chart shows that BTC has been trading in a descending parallel channel since September 7th. Such channels often contain corrective structures.

Therefore, a breakout across the canal would be the most likely scenario. The wavenumber also indicates that a breakout is expected.

Additionally, both the MACD and RSI are rising, which supports a breakout.

BTC / USDT 6-hour chart | Source: Tradingview

The two-hour chart shows that BTC bounced off the 0.786 fib retracement support and then created a rising support line. So far, the price has confirmed this line several times (green icons). As long as the support line holds, the short-term bullish structure will remain intact.

There is minor support at $ 42,950. This is the .382 fib retracement support and the horizontal support area.

Hence, the most likely scenario is for BTC to bounce off this zone before moving up.

BTC / USDT 2-hour chart | Source: Tradingview

You can see the Bitcoin price here.

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

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Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

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