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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.

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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