Bitcoin Price Analysis: BTC/USD sinks beneath 50-day SMA, is recovery to $10k a pipe dream?


  • Bitcoin price explores the levels towards $9,000 as sellers have another field day across the crypto market.
  • In spite of the loss, Bitcoin’s recovery above $10,000 is still possible especially if $9,000 support is guarded at all costs.

Bitcoin price recovery above $10,000 is gradually becoming a mirage following continued losses that have eyed $9,000 since the beginning of the week. Failure to find support at higher levels such as $9,800, $9,600 and $9,400 appears to have encouraged the sellers in increasing their entries. The Asian session saw the price hit an intraday low of $9,093 on Wednesday. Minor recovery movements have reclaimed some ground past $9,100, however, $9,200 remains intact as a seller congestion zone.

Anthony Pompliano: Warren Buffet is not the right person to listen to

The debate regarding the value of Bitcoin has resurfaced following an interview that the founder of Berkshire Hathaway, Warren Buffet had with CNBC. The Billionaire claimed that he does not own any crypto let alone Bitcoin and he will never own any even in the future. His statement came after Tron (TRX) founder Justin Sun said that he had given Buffet some Bitcoin and Tron (TRX).

On the other hand, Anthony Pompliano, the co-founder at Morgan Creek Digital, had a discussion with CNN’s Julia Chatterley at the New York Stock Exchange on February 25, where he categorically said that Buffet was not “a great person to listen to on technology.” Pompliano added that “Bitcoin’s monetary policy is superior to fiat monetary policy.

Bitcoin price analysis

Bitcoin price is trading under the ascending channel that guarded the incredible growth in January and through most of February. The price is also under the 50-day SMA, which further jeopardizes the potential for recovery. BTC/USD is trading at $9,151 at the time of writing. Movements north have been capped under $9,200 (seller congestion). On the downside, the immediate support is at $9,100. In case of a drop below $9,000, the 200-day support at $8,805.47 is expected to come in handy.

The RSI in the same daily range shows that Bitcoin's trend has a strong bearish bias. However, as long as the 50-day SMA stays above the 200-day SMA, potential for growth will still be apparent. In other words, recovery towards $10,000 is still a possibility especially if BTC defends its position above $9,000.

BTC/USD daily chart

 

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