Bitcoin Price Analysis: BTC/USD Triangle Breakout Confirmed, Will It Be $9,800 Or $10,400?

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  • Bitcoin price breakout from the eight-week slumber hits a wall under $9,500.
  • BTC/USD path of least resistance is sideways as highlighted by the prevailing technical picture.

Bitcoin markets remained paralyzed for almost eight weeks. With all lifestreams (volatility) cut from the main source, the largest cryptocurrency remained motionless until a breakout was confirmed on Tuesday.

Coming from a position of volatility, after falling to a two-year low, BTC/USD sprung up above several resistance zones starting with $9,200. The upward leg continued above $9,230 as well as the key $9,300 level. Buyers had their eyes fixated on $10,400 but the momentum lost steam short of $9,500.

At the time of writing, Bitcoin is trading at $9,385. Bulls are dealing with an increase in selling pressure. Resistance at the 50-day Simple Moving Average (SMA) is proving to be a hard nut to crack.

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BTC/USD daily chart

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

Technical indicators applied to the chart are gradually changing from the bullish picture in favor of consolidation. The Relative Strength Index (RSI), for instance, has settled for a sideways action at 54.98. This follows an impressive upward movement from levels under the average to those close to 60.00.

Similarly, the moving average convergence divergence (MACD) hints that consolidation would take precedence to allow buyers to gather strength once more for the impending breakout to $9,800. The indicator is clinging to the midline, emphasizing on the sideways action.

For now, it is clear that that path of least resistance is sideways. However, with a falling tringle pattern already confirmed, the potential for gains above the resistances at $9,800 and $10,000 remains high. Glancing farther up, the ultimate goal in the medium term is $10,400.

Read moreBitcoin Price Stability Holds As Altcoins Signal “Range Dump” After Rally

BTC/USD Key Intraday Levels

Spot rate: $9,385

Relative change: -8.25

Percentage change: -0.09%

Trend: Bearish bias

Volatility: Expanding

 



from Coingape https://coingape.com/bitcoin-price-analysis-btc-usd-triangle-breakout-confirmed-will-9800-10400/

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