Bitcoin’s (BTC) repeated failure to beat resistance at $3,900 is a slight cause of concern for the bulls.
Having bounced up strongly from the 100-day moving average (MA) support, bitcoin was expected to make a quick move toward the psychological hurdle of $4,000.
In the last few days, however, the bullish momentum faded near $3,900 – the high of the candle with long upper shadow created on Feb. 28.
Further, the spike to a 12-day high of $3,924 seen earlier today was short-lived with prices quickly falling back to lows near $3,860.
BTC’s inability to force a convincing break above $3,900 may invite selling pressure. That said, the short-term outlook would turn bearish only if prices drop below the Feb. 27 low of $3,658.
Trader Georgi Bozhidarov