Bitcoin Price Analysis: BTC/USD Pre-halving Rally Hits $10k But Why Is Return To $9k Imminent?

08 May, 2020 Updated 20 Jul, 2022

By John Isige

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John is a seasoned crypto expert, renowned for his in-depth analysis and accurate price predictions in the digital asset market. As the Price Prediction Editor for Market Content at CoinGape Media, he is dedicated to delivering valuable insights on price trends and market forecasts. With his extensive experience in the crypto sphere, John has honed his skills in understanding on-chain data analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the dynamic metaverse landscape. Through his steadfast reporting, John keeps his audience informed and equipped to navigate the ever-changing crypto market.

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CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

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Bitcoin Halving Is Nigh

Bitcoin is set to undergo a mining reward halving. The event takes place every four years and sees mining rewards given to miners reduced by half. This year’s halving will take place in just three days and investors across the border want to be ready for the piece of cake following the halving as its impact is predicted to ted culminate in a price rally. The surge to $10,000 during the Asian hours on Friday can be attributed to pre-halving volatility created by increased network activity.

Bitcoin Price Technical Picture

BTC/USD technical picture turned bearish as soon as it hit highs slightly above $10,000. The RSI is also retreating from the overbought and hints to a developing bearish trend. The volume has decreased as investors wait for Bitcoin to confirm the breakout past $10,000. However, if support at $9,800 fails to hold, Bitcoin could dive lower to test $9,000. The range between $9,000 and $8,500 has a higher concentration of buyers and if tested, Bitcoin could also bounce back upwards. The major support remains at $8,400.

BTC/USD 4-hour chart

Bitcoin Intraday Levels

Spot rate: $9,912

Relative change: -95

Percentage change: -0.95%

Trend: Bearish

Volatility: Low

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.