Bitcoin bears have regained momentum and impulsively pushed the price down. Bitcoin nose dive below $10,500 support zone. Can BTC bulls regain momentum again? What are the charts and technical indicators are saying? Read on to find further insights into today’s BTC/USD Technical Analysis.
September 7, 2020, | AtoZ Markets – Bitcoin is currently trading around $10,130 area and trying to decline. After breaking below the dynamic level of 20 EMA on the daily chart, BTC aggressively pushed the price downside and hit a psychological event-level $10,000. As per the current price action, Bitcoin may face strong support around $10,000 area in the coming days.
Bitcoin price traded to another month to month low at $9,850 before correcting upward against the US Dollar. BTC is as yet following a bearish momentum, and it is probably going to quicken lower underneath $10,000. However, in the course of recent hours, Bitcoin has gone through a solid bounce from its nearby lows at $9,800, trading at $10,130 currently.
Bitcoin Nose Dive as the U.S. Dollar Index Recovering Higher From Its Record Lows
Bitcoin is currently trading around $10,130 area and trying to push downside. However, BTC bullish trend has retraced towards Fibo level 23.6. So, its time to see what Bitcoin will do in the coming days.
Image: Bitcoin 4 Hour Chart
According to the 4-hour chart, Bitcoin nose dive and currently trading around $10,130 area. As per the current price action, if the price pushes further down and breaks below $10,000 support area, the bears may sustain the bearish pressure towards $9,500 area in the coming days. Alternatively, if the price bounced higher from $10,000 support level and had a 4-hour impulsive bullish candle close, the bulls may regain momentum and recover higher towards $11,500 area in the days ahead.
In addition, the dynamic level of 20 EMA is currently residing above the price. It may act as strong resistance to push the price downward. Besides, the MACD lines are currently residing below 0.00 level and may have a bullish intersection.
BTC May Recover Higher
According to the daily chart, Bitcoin nose dive but may find support around $10,000 area. As per the current price action, if the price bounces higher and has an impulsive daily close above $10,500 area, the bulls may push the price higher towards $11,000 area as a first target. The second target will be $12,000 key level if the price breaks above $11,000 resistance in the coming days.
Image: Bitcoin Daily Chart
Furthermore, the dynamic level of 20 EMA is currently residing far above from the price. It may pull the price higher as a mean reversion. Also, the Stochastic Oscillator lines are currently residing above the oversold level 20 and may have a bullish cross over.
To conclude, Bitcoin bears have gained a huge amount of pips and currently facing support at $10,000 event level. A daily close is required to identify the definite momentum in the coming days.