- Bitcoin is hovering at $9,000, upside momentum is slow.
- The critical resistance comes on approach to $9,600.
BTC/USD recovered above $9,000 to trade at $9,080 by the time of writing. The first digital coin experienced a massive sell-off below $9,000 on Thursday and hit the recent low at $8,800 where new buyers popped in and saved the game. Despite the recovery, BTC/USD is down nearly 4% on a day-to-day basis and mostly unchanged since the beginning of the day.
BTC/USD: on-chain data
According to Intotheblock data, strong resistance is located between $9,346 and $9,616, as there are about 1.54 million addresses that bought 994,000 BTC around that price. A sustainable move above this area is needed to improve the technical picture and attract new short-term buyers to the market.
The support goes all the way down to $8,756 with 1 million addresses holding 593,000 BTC. They helped to stop the sell-off on Thursday and push the price back to $9,000.
BTC/USD: Technical picture
On the intraday charts, the above-mentioned $8,700 is followed by a stronger barrier of $8,600 created by 4-hour SMA200. If it is cleared, the downside momentum will gain traction with the next focus on $8,300-$8,150 area, which includes strong technical levels daily SMA100, SMA50 and SMA200 as well as 61.8% Fibo retracement for the downside move from February 2020 high.
On the upside, a recovery above $9,300 will improve the short-term technical picture and allow for an extended upside move towards $9,550-$9,600, which includes Thursday's high and the above-mentioned congestion area.
BTC/USD daily chart
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Ripple's move above this key level could trigger nearly 50% rally for XRP
Ripple has overcome a critical resistance level and flipped into a support floor on the weekly time frame. This development happened while XRP tightly consolidated for roughly 250 days. Investors can expect XRP to kickstart a massive rally.
Optimism price outlook with nearly $90 million worth of OP tokens flooding markets on Friday
Optimism volatility has shrunk in the ours leading to the network’s cliff unlock. It joins the likes of dYdX and Sui, which have similar events on their calendars. As token unlocks are often considered bearish catalysts, investors should brace for a reaction after the event.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Retail watches from the sidelines with a bias for shorts
Bitcoin could clear $73,777 peak as BTC bulls resurface. Ethereum might fall 10% before next leg up as ETH RSI teases with sell signal. XRP could lose $0.6000 threshold as Ripple bulls fail to show up.
Jito price could hit $6 as JTO coils up inside this bullish pattern
Jito price action shows a potential cup and handle formation. Based on theoretical measurement rules, a successful breakout could yield a 56% rally to $6.0. A breakdown of the $3.86 support level would create a lower low for JTO and invalidate the bullish thesis.
Bitcoin: BTC may have recovered, but is it out of the woods?
Bitcoin’s (BTC) upward momentum has shown a significant decline for the past two weeks or so. This development led to a bearish signal on the weekly and an uncertain outlook on the monthly.