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Bitcoin Technical Analysis: BTC/USD bounces back after a dip under $9,000

  • Bitcoin price explores levels under $9,000 following volatility caused by the upcoming expiry of futures options.
  • BTC/USD recovers from the dip to $8,988 and is now focused on keeping the price above $9,300.

Bitcoin price has bounced back after exploring areas under $9,000 on Thursday. The king of cryptocurrencies traded lows of $8,988 after plunging from $9,287 (opening value). At the moment, BTC/USD is trading 0.2% higher from the opening value amid a building bullish momentum as well as expanding volatility.

Technically, the largest cryptocurrency is poised for further upward price action. For instance, The RSI has recovered from the oversold based on the 2-hour chart. As it moves closer to average, the bullish momentum becomes stronger. Gains above $9,300 would allow the buyers to focus on the resistance at $9,400.

As reported, Bitcoin futures contracts are set to expire on Friday. There is evidence of a tug of war due to increased volatility as options traders try to pin the price their way before the expiry occurs in a bid to avert extreme losses.

For now, the Bitcoin market will have to get accustomed to the volatility. Potential for gains above $9,600 is still high owing to the fact that BTC/USD traded above $9,700 earlier in the week. More hurdles are anticipated at the 100 SMA ($9,400) and 50 SMA $9,458.On the downside, support is expected at $9,200, $9,000 and $9,800.

BTC/USD 2-hour chart

BTC/USD price chart

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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