BTC/EUR upswings restrained below 7SMAs on bearish engulfing pattern, more slumps likely on bearish crossovers as ECB declines EU-backed crypto

BTCEUR stiff resistance is observed at 5644.20 levels, upswings have been edgy in the recent past as well (refer 4H chart). 

We witnessed the failure swings at this stiff resistance followed by resembling bearish engulfing candle at 5353.90 levels. 

Both leading oscillators (RSI & stochastic curves) on this timeframe, show constant downward convergence which is the signal of intensified bearish momentum.

While 7SMA has crossed below 21SMA which is a bearish crossover that signals prevailing price dips likely to extend further. Same has been the case on MACD that shows bearish crossover.

On daily plotting also, the current price slides below DMAs on bearish engulfing at 5,359.30 levels. 

The European Central Bank (ECB) very recently clarified that they are not interested in European Union backed cryptocurrency in the near future. Mario Draghi, ECB president further stated that there is no essentiality for the digital currency at this juncture and reaffirmed his trust that blockchain technology still requires some advancement before the ECB’s adoption in any way.

For now, more slumps in BTCEUR seem to be on cards upto the next strong support at 5302.90 levels upon bearish SMA & MACD crossovers.

Currency Strength Index: FxWirePro's hourly BTC spot index is flashing at -55 levels (which is bearish), while hourly EUR spot index was at 39 (mildly bullish) while articulating at (13:17 GMT). For more details on the index, please refer below weblink:

http://www.fxwirepro.com/currencyindex