A Sharp Short-Term Correction Sees BTC Plunge Chances Go High
The performance of the BTC/USD pair is thriving in a way that its price started increasing sharply over $9.8k and $10k. The ongoing consolidation could soon see the price rally over $10.2k for an immediate bullish wave.
On the previous day, BTC attained a fresh weekly low at $9,483. An upside move began later over barriers at $9.7k and $9.8k.
The buyers successfully built momentum over a connecting declining trend line, $10k, and the 100 hourly SMA. Hence, the price moved towards $10.3k subsequently forming a fresh intraday high close to $10,279.
A correction to the downside under $10.2k is ongoing. However, the existence of several supports is on the downside, closing in on $10.1k and $10,080.
A look at the upside on the hourly chart of BTC against the USD pair shows that $10.2k is the resistance. Additionally, the formation of a declining trend line could happen, with a hurdle close to $10.2k.
Therefore, the price must remain over the barrier at $10.2k to keep up the upside move in the near term. If it continues to the upside, there is the likelihood that buyers will focus on breaking over the wide $10.5k barrier zone.
If successful, the price might even visit the $11k barrier zone in the near term. Failure to move above the $10.2k barrier zone and the trend line might lead to the downside. The initial support is close to the $10k zone.
BTC’s last line of defense is close to $9.9k and the 100 hourly simple moving average. Any further declines could pave the way for a massive downward move to $9,650 and $9.5k.