Bitcoin Continues to Buck the Trend in August. Can it Hold on?

Bitcoin fell by 1.48% on Monday. Partially reversing a 2.25% gain from Sunday, Bitcoin ended the day at $11,404.

Bearish through the morning, Bitcoin slid from an early intraday high $11,585 to a mid-day intraday low $11,260.

The sell-off saw Bitcoin fall through the 23.6% FIB of $11,275 and first major support level at $11,257.93.

Finding support through the early afternoon, Bitcoin moved back through the 23.6% FIB to $11,400 levels before easing back.

Bucking the trend from the broader market, it’s been bullish month leaving the extended bullish trend intact. Bitcoin’s hold onto $11,000 levels reaffirmed the bullish trend formed at mid-December’s swing lo $3,215.2

Elsewhere

Across the top 10 cryptos, it was a mixed bag for the majors.

Tron’s TRX bucked the trend on the day, gaining 0.28%, whilst the rest of the majors joined Bitcoin in the red.

Litecoin’s troubles continued with a 4.59% slide to lead the way down on the day. Stellar’s Lumen (-2.45%) and Ethereum (-2.29%) weren’t far behind with relatively heavy losses.

For EOS (-1.74%), Bitcoin Cash SV (-1.7%) and Bitcoin Cash ABV (-1.63%), the trio also struggled on the day.

Ripple’s XRP and Binance Coin saw modest losses of 0.87% and 0.23% respectively.

Following on from another bearish start to the week, August looks set to deliver for a 2nd consecutive month to the bears.

Litecoin leads the way, sliding by 13.28%, with Stellar’s Lumen not far behind, falling by 9.53%. The August pullback saw Stellar’s Lumen fall out of the crypto top 10, having briefly replaced Tron’s TRX.

Monero’s XRM joined the top-10 in the last few days, supported by a 12.92% current month rally.

Bitcoin’s dominance stood at 68.8% at the time of writing, with a bearish start to the week weighing on the crypto majors.

The total crypto market cap eased back from a Monday high $298.5bn to $295.55bn at the time of writing.

While the news wires remain relatively silent on the regulatory front, geopolitical risk looks to have provided Bitcoin with support.

This Morning

At the time of writing, Bitcoin was flat at $11,404. A choppy start to the day saw Bitcoin rise from an early morning low $11,378 to a high $11,468 before easing back.

In spite of the choppy start, Bitcoin left the major support and resistance levels untested.

Elsewhere, Stellar’s Lumen and Binance Coin bucked the trend, with gains of 0.15% and 0.11% respectively.

It was red for the rest of the crypto majors, however. EOS led the way down in the early hours, falling by 1.81%, with Litecoin and Bitcoin Cash ABC not far behind. The pair were down by 1.32% and 1% respectively.

BTC/USD 13/08/19 Daily Chart

For the Bitcoin day ahead

Bitcoin would need to move through to $11,420 levels to support a run at the first major resistance level at $11,572.67.

Support from the broader market would be needed, however, for Bitcoin to break out from $11,400 levels.

Barring a broad-based crypto rally, the first major resistance level and Monday’s high $11,585 would likely cap any upside.

In the event of a crypto rally, Bitcoin would likely visit $11,600 levels before any pullback.

Failure to move through to $11,420 levels could see Bitcoin slide back into the red. A fall through the morning low $11,378 would bring the 23.6% FIB of $11,275 into play.

Barring a crypto meltdown, the first major support level at $11,257.93 should limit any downside on the day.

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