- Bitcoin ignored the consolidating phase and solely sent the entire market on a journey of breaking barriers to the upside.
- Bitcoin must reclaim the position above $9,800 to allow the buyers to focus on the coveted $10,000.
Bitcoin continues to wow investors as we start the second half of the year. It is also becoming a trend for Bitcoin to correction higher towards the weekend. Last weekend sessions saw Bitcoin scale the levels re-entering $9,000 for the second time this year. The trading earlier this week displayed a bull lot that was already getting exhausted due to the unsuccessful attempt to break above $9,500.
However, Bitcoin ignored the consolidating phase and solely sent the entire market on a journey of breaking barriers to the upside. Bitcoin initially broke above $9,500; a move that cleared the path allowing the price to form new 2019 highs above $9,800.
A Fundstrat analyst had predicted last week that Bitcoin only needs to break $9,500 psychological level to be able to correct towards $9,800-$10,000. Although, BTC/USD stepped above $9,800 it retreated under $9,700. The bulls have managed to push it back above $9,700 level and the largest crypto on the market is changing hands at $9,723 at the time of press.
Technically, initial support lies at the former resistance ($9,500). Further breakdown is expected if Bitcoin clears this support. Other support areas to keep in mind include $9,250 (resistance turned support), $9,000, $8,750, $8,000 and $7,500.
The next course of action for Bitcoin is sideways according to the technical levels as seen on the 4-hour chart. The Relative Strength Index has started to range inside the overbought suggesting directionless trading in the short-term. The Moving Average Convergence Divergence (MACD) continued to move upwards above the mean line. The increasing divergence is an indicator of continued upside correction as bulls gain traction.
BTC/USD 4-h chart
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Bitcoin Weekly Forecast: Long-awaited $100K milestone meets profit taking
Bitcoin price hovers around $98,000 at the end of a week in which it surpassed the $100K milestone to correct sharply afterward. BTC institutional demand and whale accumulation remain strong, supporting Bitcoin’s rally.
Sui surges to new all-time high amid Phantom wallet integration, strong on-chain metrics
Sui (SUI) extends its gains on Friday, reaching a new ATH of $4.49 and surging more than 23% so far this week. The main reason behind the rally is Thursday's announcement that Phantom Wallet will integrate with the Sui blockchain.
XRP to serve as a treasury asset in Nasdaq-listed Worksport
Nasdaq-listed firm Worksport Limited revealed its plan to adopt Ripple's XRP and Bitcoin as a corporate treasury asset. Ripple's battle with the SEC may conclude when new Chair Paul Atkins resumes office.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC experiences volatility post $100K milestone
Bitcoin rebounds to $97,000 on Friday after a volatile drop to $90,500, following its $100K milestone the day before. Ethereum maintains bullish momentum above key support levels, signaling a potential rally toward $4,000. In contrast, Ripple exhibits bearish tendencies, hinting at further declines.
Bitcoin: A healthy correction
Bitcoin (BTC) experienced a 7% correction earlier in the week, dropping to $90,791 on Tuesday before recovering to $97,000 by Friday. On-chain data suggests a modest rebound in institutional demand, with holders buying the dip. A recent report indicates BTC remains undervalued, projecting a potential rally toward $146K.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.