Bitcoin Recovers from Its Weekly Low
Currently, the BTC/USD pair is moving from its weekly drop at $8512. However, the Bitcoin price faces many significant barriers close to $9k, and it might turn to the downside.
This week, a powerful downward move to the downside under $9k and $8.8k occurred. The pair even continued under the support at $8680 and established under the 100 hourly SMA. The pair then formed a new low close to $8512, and it is currently correcting losses.
A Look at the BTC/USD Hourly Chart
The BTC/USD hourly chart shows the formation of two barriers close to $9k and $9.2k. Another critical observation on the same chart is forming a selling flag with support close to $8735. The initial significant barrier is close to $9k.
The buyers’ ability to have momentum over $9k could result in an immediate key breakout area close to $9.2k and the 100 hourly SMA. Therefore, the price needs to incline over $9k and $9.2k to initiate a move to the upside.
If the pair fails to move over the barriers at $9k and $9.2k, more downsides will occur. The first support is close to a flag trend line at $8735, and if the pair breaks under it, a decline under $8.7k and $8.6k will occur. If a drop happens, the pair might extend to under the $8512 swing low.
The immediate essential support and buy territory are near $8.2k. If the price does not close under the $8k, it might bounce back.
by Wayne Jones
by Wayne Jones
by Wayne Jones