Bitcoin Price Analysis: BTC/USD mired in a range as bullish sentiments fade away
- Bitcoin's price has stuck in a tight range on Tuesday.
- BTC/USD needs to regain ground above SMA200 daily.
Bitcoin has been retreating from the new 2020 high reached on January 19. The coin attempted to break above SMA200 daily currently at $9,015 only to drop to $8,600 by press time. BTC/USD is mostly unchanged both on a day-to-day basis and since the beginning of the day. Meanwhile, Bitcoin's market dominance decreased to 65.8% as major altcoins have been recovering recently.
BTC/USD: technical picture
Bitcoin bulls need to take the price above SMA200 to get a chance for an extended recovery. Otherwise, the bears might regain control and push BTC back inside the range that dominated in the beginning of January with the lower boundary at $8,000. This support area is reinforced by the broken upper boundary of the wedge formation and SMA100 daily. A sustainable move below this line will trigger sharp sell-off and push BTC towards SMA50 daily at $7,600.
On the upside, we will need to see a recovery above $9,000. Once this happens, the reecent high of $9,184 will come back into focus and allow for a further recovery towards $9,300. This resistance is created by the upper line of the daily Bollinger Band and 38.2% Fibo retracement for the upside move from December 2018 low to July 2019 high.
BTC/USD daily chart
Author
Tanya Abrosimova
Independent Analyst
