Bitcoin broke above the crucial level $9000 quite aggressively as BTC pre-halving is knocking on the door. Bitcoin to Reject $10,000 as Resistance to Continue Lower? What are the charts and technical indicators are saying? Read more to find further insights into today’s BTC/USD Technical Analysis.
April 30, 2020 | AtoZ Markets – Bitcoin is currently trading around $8900 area and trying to decline. Due to recent Bullish pressure, the price successfully filled up the bearish gap of the previous month. As per the current price action, BTC has the potential to climb further in the coming days.
After every 210,000 blocks, Bitcoin goes through a process called “halving.” This mechanism was integrated into the protocol by Satoshi Nakamoto himself. After a protocol goes through “halving,” it cuts the supply of new Bitcoins in half, halving the miner’s block production rewards, as well. So, Less supply and high demand = high price or high value. As a result of Halving, Bitcoin may regain further upward momentum in the coming days.
Bitcoin to Reject February’s High in the Process?
Bitcoin is currently residing near $8900 area and trying to retrace down. After a massive upward move BTC requires some correction toward downside before continuing the bullish trend in the coming days.
Image: Bitcoin 4 Hour Chart
According to the 4-hour chart, BTC is currently residing near $8900 area after the price broke below $9000. Bitcoin may retrace towards the dynamic levels to find another bullish pressure to climb higher. As per the current scenario, if BTC retraces down towards $8500 area and bounces higher, the bulls may continue the bullish bias towards $10,000 area in the process.
Furthermore, the dynamic level of 20 EMA is currently residing below the price, along with the Kijun line and Tenkan line. The dynamic level may act as strong support to push the price higher. Besides, the MACD lines are residing far above from 0.00 level and may have a bearish intersection.
Can BTC Reverse Back Towards $7500 Area?
According to the Daily chart, Bitcoin has been quite non-volatile with the recent bullish pressure, which helped the price to break above $9000 on the intraday chart. Currently, the price is pushing downside for a retracement, which may sustain towards the dynamic level. As per the current scenario, if the price breaks above $9000 again with a daily close, the bulls may continue higher towards $10,000 area. Alternatively, if the price breaks below $8500 area with a daily bearish close, the bears may regain momentum and push the price down towards $7500 in the days ahead.
Image: Bitcoin Daily Chart
Moreover, the dynamic level of 20 EMA is currently residing below the price, which may pull the price down back to its Mean. Besides, the Stochastic Oscillator lines were residing above the overbought level 80 and had a bearish cross over, which indicates that bears are gaining momentum.
To conclude, in the situation of the world economic crisis, Bitcoin recovers higher, very impressively. BTC bullish trend may sustain further but need a strong breakout above $9000 area in the coming days.