Bitcoin has been quite volatile and corrective but managed to sustain above $7000 area. Bitcoin bulls are active above $7000, can it reach $8500? What are the charts and technical indicators are saying? Read more to find further insights into today’s Bitcoin Technical Analysis.
April 9, 2020 | AtoZ Markets - Bitcoin is currently trading around $7310 area and trying to recover higher. The price bounced higher from the dynamic level of 20 EMA, which is still carrying the price as a dynamic support. As per the current scenario, the price may push higher but may face resistance at $7480 area in the coming days.
Moreover, BTC has dropped 1.35% during the past 24 hours, and rose by almost 15% over last week. Bitcoin is facing mining difficulty amid this Coronavirus situation, which brings recession in the global economy. BTC mining difficulty now stands at 14.7 T, which is the second half of January, according to the largest Bitcoin mining website BTC.com. Furthermore, the mining difficulty may increase by 5.55% to 15.53T. However, this forecast may change depending on the hashrate, and the computing power of the Bitcoin network. It has increased by 10%, since MARCH 26.
Bitcoin Bulls Active - Can Sustain Further in the Days Ahead?
Bitcoin is currently residing near $7310 area, and the current price action is extremely volatile. The price may find support at the dynamic levels and may push higher in the days ahead.
Image: Bitcoin 4 Hour Chart
According to the 4-hour chart, BTC is currently trading around $7310 area and trying to climb higher. The price found support at the dynamic levels but need an impulsive bullish close above $7500 area. As per the current price action context, if the price can have a bullish impulsive close above $7500 area on the 4-hour chart, the bulls may sustain further towards $8500 in the process.
Furthermore, the dynamic level of 20 EMA is residing below the current price, along with the Kijun line and the Tenkan line. The dynamic levels may work as a strong support in the future, which may help the bulls to recover higher. Besides, the Stochastic Oscillator lines are residing above 50 level, indicating certain indecision in the process.
Bitcoin Consistent With the Bullish Pressure
According to the Daily Chart, Bitcoin bulls are active above $7000 area and trying to push the price higher. The price broke above the dynamic level of 20 EMA, which indicates that the bulls may continue the upward bias. As per the current price action context, if the price sustains above $7000 with a daily close, the bulls may take the price higher towards $8500 in the days ahead. Conversely, if the price breaks down below $7000 area with a daily close, the bears may regain the momentum and decline towards $5700 area.
Image: Bitcoin Daily Chart
Moreover, the dynamic level of 20 EMA is residing below the current price, which may act as a strong support to push the price higher. Alternatively, if the price breaks below the dynamic level, the bears may gain momentum. On the other hand, the RSI line and the Stochastic Oscillator's lines are rising upwards gradually, which indicates bulls may continue the bullish trend further.
To conclude, after a massive drop from $10,000 area, BTC price is recovering slowly. The bullish pressure may sustain further, as the price remains above $7000 area with a daily close.