Bitcoin Price Analysis (BTC) – August 29
Bitcoin price takes a downward directional stride below $10,000. This steep fall has widely affected the rest of the crypto market as well and the major coins seem to plunge by a notable number.
BTC/USD Long-term Trend: Bearish (Daily Chart)
Resistance Levels: $11,000, $11,500 $12,000
Support Levels: $8,500, $8,000, $7,500
Bitcoin came under heavy pressure in the last 2days and lost more than $500 to break below the critical $9,700 mark. As of writing, the BTC/USD pair was down 6.78%, trading near $9,400. BTC price breaks major support around $10,000 and halts around $9,400, giving new weekly low.
Furthermore, looking at the chart, $8,500, $8,000 and $7,500 serve as the major support levels, making room for BTC to fall even further. The stochastic RSI for the coin is heading below 40 to indicate an oversold momentum as MACD indicator is still at the negative side. BTC/USD may see resistance levels at $11,000, $11,500 and $12,000.
BTC/USD Medium-term Trend: Bearish (4H Chart)
It’s been just a week and Bitcoin is back to where it started a few weeks ago. The unsuccessful attempt to complete the leg above $10,700 must-have demoralized the bulls and left them defenseless. They used all the fight they had to defend $10,000 in the last two days. However, the increased sales activity due to the energetic spirit of the bears sent Bitcoin below $10,000 levels. The closest resistance levels lie at $10,000 and $10,500, while the nearest supports are $9,000 and $9,500 respectively.
The technical indicators are strongly bearish and are still flashing sell signals. The stochastic RSI is buried deep in the oversold while the divergence with the Moving Average Convergence Divergence (MACD) suggests that bear dominance may likely stay longer. On the contrary, the stochastic RSI which is in the oversold could mean that Bitcoin is oversold and a delayed-reversal is on the point.
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