Bitcoin market update: BTC/USD briefly nosedives under $10,000

The Asian session on Wednesday has been extremely volatile as Bitcoin extended the bearish price action witnessed in the American session on Tuesday. BTC commenced the session at $10,094.44 before ascending to intraday highs of $10,274.23. Unfortunately, lack of credible support and bear sloth on a mission sent the crypto back to $10,0051.13 (intraday low). Note this followed a shallow recovery from a dive to $9,934 (Tuesday low).

The price is trading below the simple moving averages in the 4-hour time frame. The 100 SMA limiting movements at $10,150 while the 50 SMA will hinder growth at $10,457. As mentioned in yesterday’s price prediction, $10,436 is the most significant resistance that must be cleared for Bitcoin to witness formidable gains towards $11,000.

The Moving Average Convergence Divergence (MACD) has extended the downtrend below the mean line. The visible negative divergence below the MACD shows that selling activity is at its pick in the current session. Moreover, the Elliot Wave Oscillator has recorded six bearish sessions from the last bullish session yesterday. The formation of another bearish session could stir declines towards the main support, $9,200-9,400.

BTC/USD 1-hour chart