Why Buyers Needn’t Act Before BTC Price Falls to $9,850

News / 10.02.2020

BTC/USD’s price increased steadily over the $10k barrier. However, it could still fall to $9,850 before rallying towards the $10.5k zone.

The pair’s price rose steadily over the  $9.5k and $9.85k barriers in the last few days. Accordingly, the price surged over the $10k barrier settling above the 100 hourly SMA level.

BTC New 2020 High

Eventually, the price reached the $10.2k zone registering a new 2020 high near the $10,201 mark. Studying the hourly BTC/USD chart reveals a break below the main bullish trend line with support near the $10.1k level.

Its price is currently lower than $10,050. Meanwhile, the next support is within the $10k point. Again the key support is near $9,850, at which point there are prospects of a re-emergence of BTC buyers. Further declines could torpedo the existing bullish market sentiment leading to the price nosediving towards $9.5k.

Lower Retracement

Presently, the pairs’ price action indicates a lower retracement from the $10,201 high. Thus, the break below the $10k support could see the price visiting the support at $9,850.

Anyhow, the price continues with its powerful upswing.  Consequently, a short term retracement towards the $9.850k mark could present a small opportunity to go long. Furthermore, should the price settle under the $9.5k zone, it could trigger a substantial downside retracement.

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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.