In today’s Bitcoin price analysis, the coin is under pressure after falling from levels above $10,500. Will the downward trend continue or is a recovery imminent?
After failing to break above the $10,500 resistance on two occasions, the price of Bitcoin (BTC) started correcting lower. The downside correction extended below the $10,400 and $10,300 support level. Moreover, this latest selloff sent BTC price reeling below the key $10,000 price level, marking the first break below this level since last Monday.
The decline opened the doors for losses as Bitcoin price dropped below the $9,900 and $9,800 support levels. It even traded close to the $9,600 level. However, at the time of writing this Bitcoin price analysis, BTC is struggling to climb above the $9,800 level.
On the upside, if more buyers emerge, the crypto’s price will rise and retest the $10,000 level. A break above the $10,000 level could see the price surge towards $10,300 and $10,500. A return above $10,500 will place Bitcoin price in the trajectory towards $11,000.
On the downside, if there is an extended downside correction, Bitcoin price might test the $9,600 support. Any further downsides might discourage the bulls and the price could dip towards the $9,300 and $9,000 support level.
Meanwhile, the Moving Average Convergence Divergence (MACD) line and the signal line are below the zero line which indicates a sell signal.
On the 1-hour chart, the price of BTCUSD is bullish. However, the pair is facing hurdles near the $9,900 and $10,000 levels. More importantly, there is a short term declining channel forming with resistance near $9,900 on the chart. A successful break above the $9,900 level is needed for a fresh increase towards $10,000 in the short term.
On the other hand, if BTCUSD slides below the $9,600 support, the bears could even aim a break below the key $9,500 support level. A break below the $9,500 level is likely to set the momentum for a run towards the $9,000 level in the short term.
Meanwhile, the MACD line and the signal line are above the zero line which indicates a buy signal.
Arathur Stephen is not registered as an investment adviser with any federal or state regulatory agency. The information above should not be construed as investment or trading advice and is not meant to be a solicitation or recommendation to buy, sell, or hold any cryptocurrencies. The information is solely provided for informational and educational purposes. Always seek the advice of a duly licensed professional before you make any investment.
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