A failure at critical resistance area attracted new short-term sellers who eventually pushed BTC/USD to $7,200 from the recent high registered at $7,600. The first digital coin is down 2.2% on a day-to-day basis and unchanged since the beginning of the day. Bitcoin's average daily trading volume exceeded $18 billion, while the market share decreased to at 66.6%
Looking technically, strong barriers are clustered mostly above the current price. It means the bearish sentiment is a bit stronger at this stage. However, as long as psychological $7,000 remains unbroken, a sharp sell-off looks unlikely. Let’s have a closer look at the technical levels that may serve as resistance and support areas for the coin.
Resistance levels: $7,300 - 23.6% Fibo retracement weekly and monthly, 38.2% Fibo retracement daily, a host of shorter SMA (Simple Moving Average) levels. $7,350-$7,380 - SMA50 1-hour, SMA100 4-hour, 38.2% Fibo retracement weekly, the upper line of 1-hour Bollinger Band, SMA200 1-hour, SMA50 4-hour. $7,900 - SMA200 4-hour, Pivot Point 1-week Resistance 1.