|

Bitcoin Price Analysis: What next as BTC/USD tests $8,600?

  • Bitcoin bounces off support at $8,600 towards the short term goal at $9,000.
  • BTC/USD is in the hands of the bulls especially with the RSI holding above 70 (overbought region).

Bitcoin price has continued to face increasing selling activity. The weekend session was not different as seller domination continued. BTC/USD extended the bearish leg further below $9,000 to the extent of testing support at $8,600. The largest cryptocurrency is currently trading at $8,780 after a minor recovery from the aforementioned support area.

The prevailing trend in the Asian session on Monday is surprisingly bullish especially with the volatility being high. Other cryptocurrencies are also trying to come out of the weekend dip, for instance, Ethereum is up 1.46% to $202.50 while Ripple is up 0.67% to exchange hands at $0.1937.

The trading action in the near term is likely to remain sideways with a consolidation between $8,700 and $8,800. The RSI is holding onto the level at 70 after upward movements became unsustainable. The main goal among the bulls is to pull the price above $9,000 in order to shift the attention to $10,000.

In the meantime, holding above the short term support at $8,700 is key to the short term movements towards $9,000. Past $9,000, buyers should be ready to deal with the selling pressure at the 50 SMA and the 100 SMA in the hourly range, the trendline resistance, and the hurdle at $9,200.

BTC/USD 1-hour chart

BTC/USD price chart

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

More from John Isige
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Avalanche struggles near $12 as Grayscale files updated form for ETF

Avalanche trades close to $12 by press time on Wednesday, extending the nearly 2% drop from the previous day. Grayscale filed an updated form to convert its Avalanche-focused Trust into an ETF with the US Securities and Exchange Commission.

Bitcoin slips below $87,000 as ETF outflows intensify, whale participation declines

Bitcoin price continues to trade around $86,770 on Wednesday, after failing to break above the $90,000 resistance. US-listed spot ETFs record an outflow of $188.64 million on Tuesday, marking the fourth consecutive day of withdrawals.

Michael Selig assumes role as new CFTC Chair, what does this mean for crypto?

Michael Selig has been sworn in to serve as the 16th Chairman of the Commodity Futures Trading Commission. Selig was confirmed by the US Senate to head the commission last week, following his October nomination by the US President Donald Trump.

Crypto.com hires sports trader for event prediction market-making

Crypto.com plans to recruit a quant trader for the sports market-making team to buy and sell financial contracts related to these events. Opponents argue that internal trading desks put operators or their affiliates on the opposite side of customer trades. 

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.