Bitcoin price analysis: BTC/USD dumps as Bakkt post $600,000 Bitcoin futures sales

  • Bitcoin dumped further from the pivotal $10,000 to refresh last week’s low at $9,600.
  • A shallow recovery has ensued with BTC stepping above $9,700 but the path of least the least resistance is still to the downside.

Bitcoin bearish price action is still pressing against key support areas. For four straight days, the largest cryptocurrency has wallowed in red rough waters. The return below $10,000 seems to have squashed the buyers’ hope of touching $11,000 in the near-term. This demoralized feeling has seen the bears take the center stage and retest $9,600 for the second time in seven days.

The triangle breakout I explored yesterday gave way declines on Monday. Expected support levels at $9,900 and $9,800 failed to hold. BTC explored the downside to the extent of retesting $9,600 support.

For now, there has been a shallow correction above $9,700. However, movement north is still limited by the presence of selling pressure. The moving average convergence divergence (MACD) is moving deeper below the 0.000 mean line. A visible negative divergence signals the gradually rising selling pressure. On the brighter side, the relative strength index (XMR) below 30 displays slightly oversold conditions. This means that a reversal could occur in the near-term towards $10,000.

BTC/USD 60’ chart

Meanwhile, the newly launched Bakkt exchange trading physically settled Bitcoin futures has reported impressive results on the first day. The exchange said that it recording a 72 BTC worth more than $600,000 which were entered into monthly contracts. The CEO of Arrows Capital, Su Zhu believes that the volume will grow over time.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News

Latest Crypto News & Analysis

Editors’ Picks

Four crucial on-chain metrics suggest that Ethereum price rally has just begun as bulls target $3,000 first

Attention has shifted to Ethereum, the largest altcoin in the market after breaking out to a new record high of $1,446 (on Coinbase). Speculators, traders, and analysts agree that this is just the beginning of the rally, and Ether may have jumpstarted the altcoin season.

More Cryptocurrencies News

Crypto enthusiasts' sentiment suggests Bitcoin price is far from a market top

Bitcoin price stalled after failing to break the resistance at $40,000. As reported earlier this week, JPMorgan & Chase strategists believe that BTC will retreat if it fails to hit levels above $40,000. 

More Bitcoin News

VET breaks through consolidation phase targeting a new all-time high

VeChain is breaking out toward record highs after overcoming a critical resistance barrier around $0.03. Recovery has been consistent since last week. 

More VeChain news

LTC dives to critical support looking to rebound towards $200

Litecoin has been grinding higher since the recent breakdown to $110. Recovery was very consistent, but Litecoin failed to hold above $160, let alone clear the resistance at $170.

More Litecoin News


Bitcoin Weekly Forecast: BTC price faces extreme volatility ahead of a new all-time high

Bitcoin had a wild run this week, dropping from a high of $41,350 to a low of 30,420 in less than 48 hours. 

Read the weekly forecast