Bitcoin found support at $8500 may push higher again towards $9500. Despite the recent downturn, the Bitcoin Bulls are quite active to regain momentum. Let’s check Bitcoin Technical Analysis for more levels and insights.
February 28, 2020, | AtoZMarkets – Bitcoin pushed lower quite impulsively after breaking below $9500 area. The price did maintain intense pressure to sustain the down move and recently found support at $8500. Despite having strong Bearish momentum in place, Bulls may regain momentum as the price consolidates in the process.
Bitcoin is currently trying to recover the impulsive decline below $9500 area. The price started to correct and consolidate around the edge of $8500, which indicates Bulls are trying to stop Bears from continuing the down move. The massive decline of Bitcoin is currently considered due to BitMex’s $150 Million worth of cash out. The Cash out lead to lower liquidity in the market while the price was struggling to push above $10,000.
The Cash out incident may fade soon as more Bulls join the Rally while price maintains momentum above $8500 area. Although Bitcoin’s dovish sentiment is currently at the peak, Bulls are quite active to defend specific price points along the way lower.
Bitcoin Bulls defending $8500 area
After the recent break below $9500 area with strong Bearish momentum, Bitcoin Bears gained impulse along the way. The price shot lower without any pullbacks and currently consolidating around $8500 area.
image: Bitcoin 4-Hour Chart
According to the 4-hour chart, the price having confluence from the dynamic level as resistance after the break below $9500 area. Though the price is currently consolidating around $8500 area, the Bearish bias is still quite strong to dominate lower.
As per Fibonacci Expansion, the price is currently residing at 100 level while Bitcoin found support around $8500 area. Moreover, the MACD lines having a Bullish Crossover adding to the Bullish confluence in the process. Though the price is still Bearish as Fibonacci Expansion 100 level at $8500 area may hold the price higher.
Bitcoin found Support of Dynamic Level in Weekly Chart
According to the weekly chart, Bitcoin has been impulsively Bearish throughout the week. The price broke strong support areas recently. The Bears have already engulfed specific Bullish price actions as well along the way. The price is currently residing inside the Kumo Cloud support while held by the dynamic levels like 20 EMA, Tenkan and Kijun line.
image: Bitcoin Weekly Chart
Though the price is impulsive with the Bearish pressure, upcoming days in Bitcoin will hold the key to upcoming momentum. Currently, the bears have definite momentum to continue lower but how well the dynamic levels hold the price along the way is a question to answer.
To conclude, Bitcoin found support at $8500 area which also has the confluence of support from dynamic and horizontal levels. Bulls are trying to hold the price higher above $8500 area. If the price manages to sustain Bullish pressure above $8500 area, it may reach $9500 soon.