After its initial increase from $10,000, the price of Bitcoin (BTC) is decelerating noticeably. Generally, such as Bitcoin (BTC), the prior month seemed extremely unpredictable. In recent weeks, nevertheless, volatility has been drastically lowered to a condition of exhaustion. The overall optimism and bullishness have left only to be substituted by range-bound sideways swings in the bitcoin market. Bitcoin (BTC) is changing hands at $10,708, mostly unchanged since the start of the day as Bears and Bulls tussle at $10,700 on BTC/USD. On Monday, the king-crypto initiated a rebound to $11,000, but ruthless short-term sellers lunged into the range. In the last 24 hours, BTC/USD has lost more than 1 percent; nevertheless, it is almost 3 percent higher on a week-on-week scale. BTC/USD has lost over 1% in the last 24 hours; however, it is still nearly 3% higher on a week-on-week basis. The Bitcoin (BTC) market cap has settled at $198.48 Billion, with BTC dominance at 57.6%. Bitcoin’s difficulty ribbon’ flips bullish the first time since March. Glassnode noted that Bitcoin’s difficulty ribbon compression has broken out of stagnancy bout it has been in since the March coronavirus crash. Difficulty ribbon compression is based on difficulty ribbons, a metric that gauges optimal times to buy Bitcoin.
*On Monday, the king-crypto initiated a rebound to $11,000
*Bears and Bulls tussle at $10,700 on BTC/USD
*Bitcoin’s difficulty ribbon compression has broken out of stagnancy bout it has been in since the March coronavirus crash
Key Levels
Resistance Levels: $11,500, $11,200, $11,000
Support Levels: $10,500, $10,200, $10,000
BTC/USD Daily ChartOn the daily chart, Bitcoin is currently squeezed in between heavy resistance ($11,000) and a healthy stack of support ($10,500-$ 10,200). While the most key price level on the daily chart is the $10,000 support level. The $10,000 mark was the most significant aspect of resistance before it was suddenly breached during mid-year. Vigorous levels of resistance more often than not transform into high levels of support, as we’ve seen.
If that support zone cracks at $10,000, descent towards the lows are probable. Another failure, nevertheless, may raise the likelihood of a more corrective leap toward the level of $12,000. A possible rally towards $11,500 is probable from an entirely technical standpoint, after which a rejection or support and resistance shift may push the momentum uphill.
BTC/USD 4-Hour ChartOn the 4-hour chart, Bitcoin’s price has established a lower high, and bears are close to confirming a downtrend while on the other hand, the daily chart is actually in favor of the bulls. The RSI is looking south already, but the 4 hour MA 50 continues to act as a support level. Repeated failure to move the price below the $10,650 MA 50 zone could cause the BTC/USD pair to fall towards the $10,200 area.
To the upside, a monthly price close above the $11,000 level may cause technical buying towards the BTC/USD pair to increase. The BTC/USD pair is only bullish while trading above the 4 hour MA 50 and MA 200, key resistance is found at the $11,000 and the $11,200 levels. If the BTC/USD pair trades below the $10,500 level, sellers may test the $10,200 and $10,000 levels.
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