- Bitcoin bulls miraculously save $9,000 support averting the risk of plunging to $8,000.
- The future remains bright for Bitcoin as it trend towards a triangle breakout.
Bitcoin is nurturing the same trend witnessed in August and September when the price continuously formed a lower high pattern. The rendezvous was $10,000 at the moment. And now, this convergent point has shifted to $9,000 after Bitcoin sharply retraced from highs above $10,500. Moreover, recovery towards $10,000 has been mostly lethargic.
As discussed in the technical analysis tailored for pointers on BitMEX margin trading, The downside is clearly not over. In this case, the potential of Bitcoin plummeting under $10,000 is still immense.
BTC/USD two-hour chart
The technical picture remains in an unhealthy condition. For instance, the Relative Strength Index (RSI) is stuck under the average at 50. Although not moving towards 30 at the moment, the RSI has been forming a lower high pattern. At the same time, Bitcoin is not oversold in the short-term. This means that there is more room for the bears to explore.
Consequently, the Moving Average Convergence Divergence (MACD) has finally crossed into the negative region. A bearish cross also suggests that bearish pressure is present. However, traders need to be on the lookout for a return above the mean line (0.0). This, coupled with an expanding bullish volume could signal a reversal above $9,200.
Meanwhile, Bitcoin is looking towards a falling triangle breakout. If the price can trade above the trendline resistance, BTC/USD will get a boost towards the short-term supply zone at $9,600 and $10,000 respectively.
Bitcoin Key Technical Levels
Spot rate: $9,123
Relative change: -40
Percentage change: -0.44% on the day
Volume: Expanding bullish
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John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige