BTCUSD (Bitcoin) has been experiencing a downside correction after its recent advance failed to jump above the 25,200 barrier. Although the cryptocurrency managed to find its feet and recoup some losses in the last few daily sessions, it is still trading beneath its 50-day simple moving average (SMA).
The short-term oscillators currently suggest that bearish forces are in control. Specifically, the MACD histogram is currently below both zero and red signal line, while the RSI is hovering below its 50-neutral mark.
Should selling pressures intensify, the price could encounter initial support at the recent low of 20,670. Diving beneath that region, the spotlight may turn to the 18,700 barrier. A violation of the latter could open the door for the 20-month low of 17,588.
To the upside, if buyers regain control and propel the price higher, the 50-day SMA currently at 22,470 could act as the first resistance region. Conquering this barricade, further upside moves might stall at the recent rejection point of 25,200 before 27,950 comes under examination. Even higher, the May peak of 32,375 could prove to be a tough obstacle for the price to overcome.
Overall, BTCUSD appears to be gaining some strength, but its short-term picture remains bearish. For that to alter, the price needs to initially close above the 50-day SMA.
