Bitcoin Pushing Lower Rejecting from $9500 Resistance area which might lead the price towards $9000 again. As the Bullish Bias continues, the price may regain Bullishly. Let’s check Bitcoin Technical Analysis for more levels and insights.
February 3, 2020 | AtoZMarkets.com – Bitcoin has been quite volatile and corrective at the edge of $9500 area today. The price did manage to gain strong Bullish momentum earlier but could not sustain above $9500 area. As a result, the Bears stepped in and pushed the price lower breaking below the dynamic support levels.
Bitcoin Bulls are currently trying to manage their trade well as last time it rejected off the $9500 area, it dropped to $6000 area. So, if the History repeats itself then Bitcoin Bulls may lose certain grounds again in the process. The resistance at $9500 area is standing strong and currently the price is indecisive about the breakout. Moreover, BREXIT can also impact Bitcoin Bullish Bias in the coming days.
As per recent price action, Bitcoin may reach $10,000 or higher but breaking above $9500 is a must. Currently, certain Bullish momentum can be seen along the way but how long it can sustain is still a question to answer.
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Bitcoin pushing Lower is only a Retracement
image: Bitcoin Daily Chart
According to daily Chart, Bitcoin recently formed Bearish Continous Divergence. As a result, it might the price lower to a certain retracement rather than a counter. The dynamic levels like 20 EMA, Tenkan and Kijun line may act as support and push the price higher.
Bitcoin requires a Break above $9500
Earlier, the price broke and retested the Channel resistance as support, it also broke above the Kumo Cloud dynamic resistance. The Bullish bias is still strong but a break is required above $9500 to empower Bulls to sustain the Bullish momentum. Moreover, MACD lines in MACD are showing upward pressure with no indication of Bearish Intervention or Cross along the way.
On Friday, the daily candle closed with a Bearish body that supported the upcoming Bearish Retracement. Today, the price did manage to push higher but rejected off the $9500 area and returned lower. As per current price action, if the daily candle remains Bearish then further downward pressure towards $9000 may be seen before the Bulls continue the run.
To conclude, Bitcoin may retrace lower towards $9000 area again before it continues the Bullish run towards $10,000 or higher. For strong confirmation, a break above $9500 area is required for the price to continue pushing higher.