Bitcoin indicator shows: The price could drop to 7000 USD with increasing resistance

Bitcoin’s lackluster price action doesn’t let up, while the cryptocurrency trades between $ 9,000 and $ 10,000.This range has been set in recent months and any break above or below it has been temporary. It is entirely possible that this consolidation phase is the way BTC “gets ready” before a massive movement takes place. A technical indicator seems to indicate that this next move could benefit bears strongly, as the so-called Ichimoku cloud shows that a breakdown could lead BTC to $ 7,100.Notwithstanding, the same indicator also suggests that an outbreak could trigger significant momentum, causing BTC to rise to $ 13,000.

 

Bitcoin shows short-term weakness as previous support becomes resistance

At the time of writing, Bitcoin is quoted at $ 9,080. This is roughly where it has been traded in the past few days. BTC has been in turmoil last week: its price rose to a high of $ 9,800 before being faced with a rejection that dropped it to a low of $ 8,900.While this jeopardized the cryptocurrency consolidation phase, buyers still had enough strength to send BTC back over the lower bound of its set range. One factor to be aware of is a recent support resistance flip of $ 9,225, which could lead to further downward moves.