Bitcoin's uptrend in 2020 is once again expanded, helping the king to reach a new yearly peak earlier today. BTC soared above $ 9,800 before hitting a strong resistance level that delayed the rally.
Although BTC is in an uptrend, investors must note that BTC has not yet overcome its high range, which signals that the latest rally may soon stop before moving on. another downtrend.
An analyst said that the downtrend due to failure to overcome this high range will cause BTC to drop to $ 7,500.
Bitcoin's rally was halted after hitting a high
At the time of writing, Bitcoin is trading more than 5% at its current price of $ 9,660 – marking a significant increase from the intraday low of $ 9,200, and recovering slightly from the highs in the rally above. 9,800 USD.
This rebound came after BTC witnessed several days of downtrend that caused it to drop from a high of $ 9,650 to $ 9,100 – the moment bulls started joining and absorbing strong selling pressure, which then led to a downward trend. Upward direction today.
Although the expansion seen during Bitcoin's 2020 is very bullish, it should be noted that BTC has failed to surpass the high of about $ 9,800 today, which signals this may be a high. Best.
C2M – an analyst focused on the cryptocurrency derivatives market, has shed light on the highs in this range in the chart below, showing that these highs were set in November last year.
Will BTC plummet to $ 7,500 before finding support?
As to where the potential downtrend leading to failure at highs in this range could push prices, Teddy – a well-known cryptocurrency analyst, explained in a tweet recently that he believed prices would fall until they hit the lower boundary of its broader trading range at around $ 7,500.
“BTC: Look at the same range on daily time frames:
2. Broke the first resistance
3. Stopped with surgical precision on the second resistance
On that time frame, the rejection was strong and it was testing the bottom of the range once again. ”
The only way to avoid the downtrend due to the refusal of this range is the bulls step in to push the price above $ 9,800.
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According to CryptoSlate
Translated by ToiYeuBitcoin