Bitcoin Could Rally as its Price Momentum Expects a Significant Upsurge

News / 17.01.2020

The BTC/USD price settled below $8.7k; however, it secured powerful support above $8.5k. Currently, the price is inclining and may rally if it surges above the hurdle zone between $8840 and $8900. Yesterday, there was a retracement to the downside following the rejection of BTC/USD close to the $8.9k hurdle

The price went below the support at $8.7k, but the buyers defended $8.54k and $8.5k. However, the sellers could not take the price below the double top pattern’s neckline support at $8.54k. It led to a modest rise over the hurdle at $8.7k, and currently, the price is moving close to the limitations at $8.8k and 8.82k.

A Look at the BTC/USD Hourly Chart

The BTC/USD chart reveals the formation of a new breakout pattern with a hurdle close to $8825. A successful push over the triangle barrier and $8840 signals greater chances of additional upsides over the barrier at $8.9k.

Therefore, there is a likelihood of the double top pattern getting aborted, and the price could surge over $9k soon. Failure to surge over the triangle barrier and $8840 could prompt to move downsides. The significant initial support is close to the triangle at $8640.

In the event of a downside break, the sellers could likely focus on taking the price to beneath the significant supports at $8540 and $8500. It may, however, lead to an extended drop towards $8.2k. Currently, the bulls are striving, and it appears that it will be hard to take the price beneath the supports at $8540 and $8500.

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.