The bitcoin price on Friday fell below $20,000 after completing a downward breakout from an ascending channel formation. The BTC/USD, however, rejected a retest of the current weekly lows of about $19,650.
The bitcoin price has now declined to trade several levels below the 100-hour moving average line in the 60-min chart. As a result, the BT/USD has descended closer to the oversold conditions of the 14-hour RSI.
Bitcoin Price Fundamentals Overview
From a fundamental perspective, bitcoin is trading at the back of a relatively busy period in the US market. The pioneer cryptocurrency continues to experience downward pressure amid the crypto market fear. Nonetheless, mainstream adoption provides respite during a tough period for the industry with Georgia following the EU with plans to introduce a regulatory framework that will help onboard mainstream investors to the market.
On Friday, the greenback received a significant boost from the latest round of US data, thus adding pressure to the BTC/USD pair. The US non-farm payrolls for August outperformed the consensus forecast of 300k jobs with a tally of 315k. However, the unemployment rate edged higher to 3.7%, the highest level since February, missing the expectation of 3.5%. Elsewhere, the average hourly wage growth for the months came in at 5.2%, again falling short of the expectation of 5.3%.
Bitcoin Price Technical Analysis (the 60-min Chart)
Technically, the bitcoin price seems to have recently completed a downward breakout from an ascending channel formation in the 60-min chart. This indicates an abrupt change in the market sentiment from bullish to bearish.
Therefore, the bears will be looking to extend the current pullback towards $19,650 or lower to $19,274. On the other hand, the bulls will be targeting potential rebounds at about $20,249 or higher at $20,597.
Bitcoin Price Technical Analysis (the Daily Chart)
In the daily chart, the price of the pioneer cryptocurrency seems to be trading within a descending channel formation. This indicates a significant long-term bearish bias in the market sentiment.
Therefore, the bears will be looking to stretch the current trend towards $17,531 or lower to $15,317. On the other hand, the bulls will look to pounce on potential rebounds at about $22,206 or higher at $24,297.