Bitcoin [BTC] Overwhelmingly Supported at $9,000; Will Consolidation Trigger Surge to $10,000?
The cryptocurrency market is strangely calm this week. Since the declines on Sunday that affected most of the major cryptocurrencies, the market has avoided sharp moves either side. The market capitalization has experienced a marginal increase from $263 billion yesterday to $264 billion at the time of writing. Bitcoin dominance continues to take center stage at 64.5% which means altcoins are not doing good in recovery.
At press time, Bitcoin is trading at $9,545 following a subtle 24-hour increase of 0.58% in value. Looking back to the trend last week, Bitcoin reclaimed $10,000 support over the weekend session. The buyers made a persuasive move above $10,200. Nonetheless, increasing selling pressure at the descending trendline coupled with the Simple Moving Average (SMA) 1-hour resistance barred the buyers from pushing the price any higher.
BTC/USD 4-hour chart
Instead, Bitcoin dived under $10,000 amid extreme volatility. The bulls had to endure the painful selloff below several key support levels including $9,800, $9,600, and $9,400. Fortunately, immense support at $9,100 put a stop the losses.
The shallow recovery from the support tried to break above $9,800 hurdle but failed. Bitcoin price has since remained range-bound between $9,800 and $9,300. At present, BTC is teetering at $9,565 as a weak bullish momentum beats on the trendline resistance. The Moving Average Convergence Divergence (MACD) is stuck in the negative region. A negative divergence confirms the presence of selling pressure.
Meanwhile, the bulls must ensure that Bitcoin stays in the range mentioned. Otherwise, the price is staring towards $8,800 support if $9,000 gives in. On the upside, $10,000 resistance needs to be reclaimed and a compelling move made towards $10,000 for Bitcoin to be on the safer side.
BTC Key Technical Levels
Key Support Areas: $9,100, $9,000 and $8,800.
Key Hurdles: $9,800, $10,000 and $10,200.
MACD: Stick stuck in the negative but leveling to show consolidation will continue.Source