- The intense bear pressure in July greatly pressed down on critical levels in July.
- Bitcoin bulls tried and failed to squeeze through the resistance at $10,500.
Bitcoin soared impressively above $10,000 after being pivotal at the level for a few days. The bulls continue with the hunt for treasure towards higher levels. The intense bear pressure in July greatly pressed down on critical levels towards $9,000. However, the primary support at $9,000 remained defiantly strongly, unbothered of the immense selling pressure across the market.
As mentioned the persuasive recovery from $9,000 initially stepped above the 100 Simple Moving Average (SMA) 1-hour chart. The buyers determined to revive the uptrend engaged full-throttle thrusting past the 200 SMA 1-hour resistance.
BTC/USD 1-hour chart
An amazing breakout occurred on breaking above the 61.8% Fib retracement level taken between the last swing high at $10,489 to a swing low at $9,102. This propelled Bitcoin above the triangle resistance discussed yesterday. A move that exceptionally tested the resistance at $10,500.
At press time, Bitcoin is trading $10,388 following a 4.5% rise on the day. Bitcoin bulls tried and failed to squeeze through the resistance at $10,500. However, as it stands, the potential for growth is still massive. For instance, the double-cross of the 100 SMA above the longer-term 200 SMA is a key indicator that bullish pressure is greater.
In addition to that, technical analysis shows the prevailing trend favoring the bulls. The Moving Average Convergence Divergence (MACD) is leveling at +121.73 after recovering from last week’s lows around -159.13.
The ultimate correction to $11,000 milestone depends on the bulls’ ability to break above $10,500. Moreover, Bitcoin must find higher support to allow the buyers to gather strength and assault higher levels. Glancing lower $10,000 former pivotal level will offer support in addition to $9,800, $9,500 and $9,100. The level at $9,000 remains untested but vital to stopping extended declines.
Bitcoin Key Technical Levels
Key Support Areas: $10,000, $9,800, 9,500 and $9,100.
Resistance Areas: $10,500 and $11,000.
Moving Averages: 100 SMA double-cross above 200 SMA suggests increasing buying influence.
MACD: Settles in the positive region after recovering from last week’s -159 – Bullish indicator.