Bitcoin Tumbles to $9,200: Why $8,000 Still Beckons?

Bitcoin
  • Bitcoin price tumbles to refresh levels at $9,200 after the fight for $10,000 fizzled at $9,800.
  • BTC/USD is still not out of the bearish camp yet and declines to $9,000, perhaps $8,000 are still in the picture.

Bitcoin is facing increased selling activity as the month of June nears the end. The recent run-up to $9,800 was not only cut short prematurely but also ended in devastating losses on Wednesday. Luckily, support at $9,200 is standing its ground and giving the bulls a fighting chance. At the time of writing, BTC/USD is doddering at $9,266. The prevailing trend is strongly bearish, besides Bitcoin has already lost 0.19% of its value on the day. Rapid price movements will continue to be limited in the near term due to the shrinking volatility.

BTC/USD is essentially back to the drawing board. On the positive side, this is an opportunity to launch another stronger attack on the resistances at $9,800 and $10,000 respectively. For now, the price is trading marginally below an ascending trendline. A situation that does not look too good for the largest cryptocurrency. If fresh demand is not created at this level (above $9,200), we are likely to see more declines towards $9,000. Another drop under $9,000 will this time open the Pandora box for losses heading to $8,000.

BTC/USD daily chart

BTC/USD price chart
BTC/USD price chart by Tradingview

Slightly above the market value, BTC/USD is encountering more selling activities at the 50 Simple Moving Average (SMA). More resistance is expected at $9,400, $9,500 and $9,600.

From a technical perspective, Bitcoin will continue to see balance at $9,200 in the coming sessions. The RSI’s retreat from weekly highs at 55 to current levels at 40, places Bitcoin in the hands of the sellers. However, the MACD position at the midline shows Bitcoin’s likelihood of engaging a consolidative movement. This will allow the buyers to first, seek balance from the tumble and second, to start gathering the energy needed to clear the hurdles towards $10,000.

Bitcoin Key Intraday Levels

Spot rate: $9,218

Relative change: -60

Trend: Bearish

Percentage change: -0.73

Volatility: Shrinking



from Coingape https://coingape.com/bitcoin-tumbles-9200-8000-still-beckons/

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