Bitcoin Buyers Need to Wait For a Decline to $9,850 before Actions

News / 10.02.2020

The price of BTC/USD rose steadily over $10k barrier, but it may retrace lower to $9,850 prior to a rally towards $10.5k zone.

Within the previous few days, the price of the pair rose steadily over the barriers at $9.5k and $9,850. The price surged further over the barrier at $10k, thereby settling well over the 100 hourly SMA.

It eventually visited the $10.2k zone and was able to form a fresh 2020 high close to $10,201. A look at the hourly chart of BTC against the USD shows a break beneath a main bullish trend line with support close to $10.1k.

Currently, the price is beneath $10,050 and the next support is close to $10k. The key support is close to $9,850, where there is likelihood that BTC buyers would emerge again. Any additional declines could destroy the present bullish market sentiment and the price could decline towards $9.5k.

The price action of the pair at the moment shows that there is a lower retracement from the $10,201 high. The occurrence of a break beneath the $10k support could make the price visit the support at $9,850.

Besides, the price remains in a powerful uptrend and a short-term retracement towards $9,850 could be a modest opportunity to go long. Further, if the price closes beneath the $9.5k zone could prompt a remarkable downside retracement.

 

Featured image courtesy of Shutterstock. Source: Cryptopress.

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Sudarshan M is a long time crypto-enthusiast. Pulled in by bitcoin early on, it did not take long for Sudarshan to divert all of his academic attention from business studies to blockchain by doing his Masters and eventually pursuing his PhD in the subject.