Bitcoin's Repeated Failures to Pass $8.3K Raise Risk of Price Pullback

View Bitcoin risks a price pullback in the short-term, given the signs of bullish exhaustion around $8,300.

The case for a pullback would weaken if BTC settles above $$8,200 today, invalidating the hammer candle.

Both the daily and 4-hour charts also indicate scope for a price pullback.

Bitcoin has failed three times in seven days to find acceptance above $8,300, raising the risk of a notable short-term correction.

Notably, the pullback seen in the last 36 hours marks BTC's third failure in the last seven days to capitalize on a rally to $8,300.

On similar lines, BTC faded the spike to $8,390 on May 16 and closed the day in the red at $7,880.

BTC created a bearish "Hanging man" or a hammer candle on Monday, which occurs when the price closes in the red, despite a "Buy the dip" mentality.

A temporary bullish-to-bearish trend change would be confirmed if the price closes today below $7,581.

A close below $7,581 would open the doors for a deeper pullback to the historically strong 30-day moving average support, currently at $6,333.

With the price rally, both the relative strength index and Chaikin money flow invalidated bearish divergences by moving above their respective falling trendlines.