Bitcoin Showing Bearish Signs and Looks Vulnerable To More L...
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Bitcoin Showing Bearish Signs and Looks Vulnerable To More Losses below $9,400

Yesterday, the BTC price failed once again to break the $10,000 barrier and started a bearish wave. During the decline, it broke the $9,500 support zone (as discussed yesterday), and the price is currently down more than 3% from the weekly high. The price even broke the $9,400 support level and settled below the 100 hourly simple moving average (SMA). 

Notably, there was a break below a key contracting triangle on the BTC/USD hourly chart, with support near $9,600. The hourly MACD for the pair is slowly reducing its bearish slope, but there are many negative signs visible. The hourly RSI (Relative Strength Index) is also sliding and it is well below the 50 level. 

A recent low is formed close to $9,308 and BTC is currently consolidating gains. It tested the 50% Fib retracement level of the recent downward move from the $9,843 high to $9,309 low. It appears the previous supports near $9,540 and $9,600 are now acting as barriers to prevent any upward move. 

On the upside, the first major resistance is near the $9,640 level and the 100 hourly SMA. The 61.8% Fib retracement level of the recent downward move from the $9,843 high to $9,309 low is also at $9,639.  To start any decent rise, BTC must move back above the $9,540 and $9,640 resistance levels. The next major resistance on the upside remains near $9,950 and $10,000.

On the downside, if the BTC price fails to regain momentum above the $9,540 and $9,640 resistance levels, there are chances of more losses in the near term. An initial support is close to the $9,400 level. The first major support is also near the $9,250 zone. Failure to defend this support level could spark further losses towards the $9,120 and $9,000 levels in the near term.

coinmag

Dacosta Osei-Tutu, a first degree holder in Nursing, who couples his Nursing career with blockchain blogging, has a great passion for the blockchain technology and aims to play a vital role in applying this revolutionary technology to disrupt the healthcare system in Africa.