Bitcoin Rally Stalls at $10K But Dip-Buyers Should Watch These Levels
With but 2 days left until the block reward halving Bitcoin (BTC) reached $x,000 for the second time in 24-hours. Data from Cointelegraph Markets and CoinMarketCap shows the largest digital nugget by market capitalization is struggling to stay higher up the $10K handle.
Crypto market weekly price chart. Source: Coin360
A few hours ago the toll lost momentum and the dropoff in purchasing volume broke the pattern of higher lows, causing Bitcoin to drop below the pennant seen on the hourly and four-hour time frame.
BTC USDT 1-60 minutes chart. Source: TradingView
After Th's eleven.81% rally, some traders expected the price to pull back to retest lower supports. Just since April 29, traders have been steadily buying into each dip. The toll also appears to be supported by a high volume VPVR node right at $ix,925, and on April 8 the price bounced right off this node.
BTC USDT 4-hour chart. Source: TradingView
Despite this, there are signs that Bitcoin is in need of a pullback. On the shorter timeframes, purchasing volume has dropped significantly, the RSI has also come up downwardly from 77 to 63, and momentum on the MACD histogram is decreasing every bit the MACD pulls below the signal line as the cost lingers between $9,750 and $ix,900.
$ix,300 BTC price incoming?
Since Apr 29, Bitcoin'southward cost has gained 30%. This besides means that since the Black Thursday crash the toll has rallied more 160%. Thus, a pullback to retest lower support would be perfectly natural, and if not for the upcoming halving, traders who bought at $3,750 and $seven,600 would already be itching to take profits.
In the consequence of a pullback below $9,800, the $9,400-$9,300 zone is where the toll is expected to find back up. The $ix,400 level is aligned with the xx-MA and the long-term descending trendline.
Meanwhile, $9,300 is lined up with a high volume node on the VPVR. If $9,300 fails to provide back up, traders will have their eyes focused on $ix,000, which is close to the 78.6% Fibonacci retracement.
Crypto Fright & Greed Index. Source: Culling.me
Despite the short-term possibility of a pullback to $9K, Bitcoin price activity looks encouraging going into halving simply the Crypto Fearfulness & Greed Index shows investors the majority of traders are feeling quite bullish now.
While this is a potent pivot from where the index was 2 weeks ago, many traders view the sentiment metric equally a counter-indicator, meaning when the majority of investors experience beamish traders purchase and the opposite when the majority of traders feel bullish.
Looking forward
BTC USDT daily chart. Source: TradingView
For the fourth dimension being, gamble-averse traders might consider waiting for a breakout above $10,600 as the daily chart shows that Bitcoin is ready to target $11,500 above this level.
More ambitious traders volition watch the 1-hour chart to come across if the toll can push to a higher place the 20-MA and break above the pennant at $ix,956.
Alternatively, traders could also wait to see if the price drops below $ix,750 to revisit support in the $ix,300-$9,400 range.
The views and opinions expressed here are solely those of the author and practise not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You lot should conduct your own enquiry when making a decision.
Source: https://cointelegraph.com/news/bitcoin-rally-stalls-at-10k-but-dip-buyers-should-watch-these-levels
Posted by: reedindraviverry.blogspot.com
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