• Bitcoin (BTC)'s sell-off may speed up on the break below $9,000.
  • The recovery above $9,200 will mitigate the bearish pressure.

Bitcoin is declining rapidly. At the time of writing, the first digital coin is trading close to critical $9,000, down 2% since the beginning of the day. The downside momentum has been gaining traction after the price broke below critical SMA200 (Simple Moving Average) on a daily chart. The psychological $9,000 is under threat now.. Once it is out of the way, the sell-off may be extended towards SMA50 daily ($8,600) and to $8,400. This barrier served as strong resistance for the most part of October. 

On the intraday charts, the technical picture looks bearish. The Relative Strength Index has entered the oversold territory, though it still points downwards, which means that the sell-off may continue towards $8,900 where fresh buying interest is likely to appear to [push the price back to $9,000.

On the daily timeframe, we will need to see a sustainable move above $9,200 to mitigate the initial bearish pressure. If the coin manages to recover above this handle, the upside momentum may gain traction and take BTC/USD to $9,300 strengthened by 61.8% Fibo retracement daily. 

BTC/USD, the daily chart


 

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