Presence of Critical Breakout Explains The BTC Sharp Recovery

News / 21.02.2020

BTC/USD price kept above the $9,350 support. Although the price is currently recovering, it needs to push past $9,825 to initiate a substantial upside.

After closing below $9.5k, the price moved further beneath the $9.4k level. However, it later stabilized over the $9,340 and $9,350 marks, forming a swing low close to $9,344 before heading into recovery.

Again, studying the pair’s hourly chart shows a surge over a contracting triangle whose barrier is about $9,665. Presently, the pair has settled above the  $9.7k mark. That said, its upsurge faces several major barriers.

The first barrier sits near $9,825 and the 100 hourly SMA. Therefore, it follows that if the price surges past the  $9,825 barrier and the 100 hourly SMA, it could initiate a larger move to the upside in the short term.

The closest key barrier is nearer to $10,060, and any move over it could shift the focus to surging past the $10.3k swing high. Further gains may catapult the price to the $10.5k barrier.

Moreover, we could experience a decline if the pair fails to keep up its uptrend over the $ 9.825k barrier and the 100 hourly SMA. At that point, the first support is adjacent to $9,620.

The first major support is close to $9.5k. As such, any move below it could see the pair retest the $9,350 support zone. A move below the $9,350 support level could cause the price towards $9,050.

Born in Bucharest, Marius is the founder of Crypto Adventure. Since his first contact with Bitcoin and cryptocurrencies, he never stopped believing that they are one of the most important innovations of our time, which will forever change the way business is done.