BTC Breaking above $11,000 To Take A Little Longer
The BTC/USD pair has maintained its upswing, getting closer to the $10.5k mark. There are, however, exhaustion signals from the pair, creating a possibility of some few points of decline preceding further upswings.
BTC Bullish Run
The week saw the pair bounce back strongly, surpassing the $10k hurdle. With a continued price surge, the $10.2k and the 100 hourly SMA were categorically broken.
A recent bullish run pushed prices ever closer to the daunting $10.5k barrier. Even though, the bullish momentum broke, it still created a new 2020 high bordering the $10,492 mark. This is now correcting to a lower figure.
Break In Momentum
This support lies near $10.4k but the initial underlying key support stands lower, closer to $10,350. The hourly chart of BTC against the USD in turn points towards the formation of a short-term rising channel whose backing lies at around the $10,350 mark.
When the upswing is observed, the daunting $10.5k barrier faces the pair. Buyers also seem to have exhausted their purchase momentum signifying the possibility of short-term slump below $10,350.
On the other hand, the downswing shows the major support hovering near the $10.2k mark where buyers could become active. Further declines imply the possibility of a lower support zone near the $10.1k mark
As a follow up to the current retracement tide, price may swing back, glossing over the $10,450 and $10.5k marks. The next target will definitely be $11k, provided the move above the $10.5k mark.
An intermediate $10.8k barrier would be feasible. But if the pair’s current price action is anything to go by, a minor decline towards $10.2k or $10.1k is to be anticipated before a bullish run towards $11k kicks in.
by Wayne Jones
by Wayne Jones
by Wayne Jones