- Bitcoin price is trading at $9,745 after a shallow recovery from $9,591 (daily lows).
- BTC/USD is likely to revisit $9,000 before relaunching the quest towards the $14,000 milestone.
Bitcoin scuffle towards $10,000 has renewed strength after defending $9,500 support. Over the past couple of days, concentration has been on holding above key support areas. However, with bears boosted by the negative wave across the market and the lack of catalyst, the path of least resistance has remained to the south.
At press time, Bitcoin price is trading at $9,745 after a shallow recovery from $9,591 (daily lows). The bulls are fighting to hold on to the slight gains but $9,800 is proving to be an uphill task.
BTC/USD 4-h chart
The correction to the range around $9,500 as many believed, going to create more demand for BTC. However, as it stands the crypto did not gain the desired momentum to correct above $10,000. Besides, BTC/USD must come out of the bear range between $9,500 and $9,800 in order to extend the leg towards the critical $10,000.
The support at $9,000 still remains an area that is likely to be revisited before Bitcoin can relaunch is quest towards the $14,000 milestone. In addition to that, a breakout past the falling triangle pattern will give the buyers a kick to higher levels.
Technical analysis shows the bulls having the upper hand at the moment but still being dragged by the prevailing selling pressure. The Moving Average Convergence Divergence (MACD) is at a higher level compared to July 17 -508. At present the indicator is holding ground at $-194 with the negative divergence narrowing to the upside.
In my opinion, Bitcoin is still a long way to breaking above $10,000. A correction towards $9,000 is likely to give the price the bounce it requires to escape the bear trap under $10,000 territory.
BTC Key Technical Levels
MACD 4-h chart: Higher levels compared to last week with decreasing negative divergence suggest more bullish influence.
Triangle breakout: Will give BTC boots above $10,000.
Key Support: $9,500 and $9,000.
Key Resistance: $9,800, $10,000 and $11,000.