Why the Bitcoin price has rallied 10% in one day and what it needs to continue
- Bitcoin rallies 10% in one day as an influx of volume transactions pours into the market.
- The 200-week moving average could be a probable resistance zone at $23,125.
- Invalidation of the uptrend thesis remains a breach below $17,622.
Bitcoin price has produced an applaudable retaliation against the late summer mudslide. Additional gains should not be ruled out.
Bitcoin price surges higher
Bitcoin price has surprised day traders as an impressive bull run occurred on Friday, September 9. The bulls have been showing a persistent uptick in transactions throughout the first week of September, which suggested a volatile market was sure to commence.
Bitcoin price currently auctions at $21,253. The recovery was catalyzed by a subtle bullish divergence on the daily level, which deemed the September 6 low at $18,510 more oversold than the August 28 low at $19,533.
BTC USDT
Day traders in the market have fully taken advantage of the RSI signal and have confidently breached both the 8-day exponential (EMA) and 21-day simple moving averages (SMA).
As per the last bullish thesis, a profitable target for the current uptrend rally is the 200-week moving average at $23,128. Traders should keep the invalidation point at the June 18 swing low at $17,622. Early evidence of an uptrend failure could be a closing candle below a triangle apex at $19,700.
In the following video, our analysts deep dive into the price action of Bitcoin, analyzing key levels of interest in the market. -FXStreet Team
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
