Bitcoin (BTC) price broke the $ 10,500 resistance during the day, but continues to struggle to settle above the level against the US dollar. The leading cryptocurrency was trading at $ 10,509 at the time of writing. In addition, BTC currently holds a support of $ 10,200, under which bears can strengthen.
Bitcoin is currently facing hurdles near the $ 10,400 and $ 10,500 resistance levels, according to analyst Aayush Jindal. It is trading near the 100 hourly simple moving average and well above the $ 10,200 support. There was a break below a major bullish trend line with support near $ 10,350 on the hourly chart of the BTC / USD pair. For the pair to continue to rise to $ 11,000, it needs to gain momentum above the $ 10,500 resistance.
Bitcoin Price Faces Obstacles
In the past two days, Bitcoin price has recovered above the $ 10,400 level against the US Dollar. BTC even broke the $ 10,500 resistance and moved above the 100 hourly simple moving average.
However, the bulls could not gain over $ 10,500. A high of around $ 10,573 was formed and the price reduced most of its gains. It broke the $ 10,400 level and the 100-hour SMA. Also, there was a break below a major bullish trend line with support near $ 10,350 on the hourly chart of the BTC / USD pair.
Bitcoin price traded close to the $ 10,200 support and was low around $ 10,215. The price is currently rising and trading above $ 10,500.
bitcoin btc price analysis 14 September 2020 1
The leading cryptocurrency is currently trading near the 100 hourly simple moving average and well above the $ 10,200 support. On the upside, initial resistance is near the $ 10,500 level. In order for BTC to continue upward, it must close successfully above the $ 10,500 resistance level. The next major resistance is near $ 10,800.
Analyst Akash Girimath observed that in a very short time Bitcoin formed bull flag patterns. Breaking out is expected to easily raise the price above $ 10,600, analyst said. At the end of the day, we can expect Bitcoin to easily touch the $ 10,600 level and consolidate before making a higher move in the charts.
Will there be a New Drop in BTC?
According to Jindal, if Bitcoin fails to stay above the $ 10,400 or $ 10,500 resistance, there is a risk of a downside break. The first support is close to 10 thousand 250 dollars. The next major support is near the $ 10,200 level.
A close below the $ 10,200 support could steer the price towards the $ 10,000 support. Further losses could put a lot of pressure on the bulls, and the price could drop to $ 9,500.
Comparison 2020 – 2016
Popular analyst Crypto Michael said the current situation could be compared to 2016. Michael said:
“If you want to compare periods and market cycles, the current market situation can be compared with 2016. Slowly progress upward with a long sideways consolidation period. Several of them were seen in 2016. We will probably see this in 2020, 2021. Like a bull. “