Bitcoin Price (BTC) Dives Below $9,600 But Bears Need To Be Cautious
Bitcoin price started a substantial decline from well above $10,400 area. BTC to USD tested the $9,450 support area and it remains at a risk of more downsides.
Key Takeaways: BTC/USD
- Bitcoin price is down around 5% and it broke the key $9,800 support area against the US Dollar.
- BTC/USD broke the $9,600 support and a declining channel on the 2-hours chart (data feed from Bitstamp).
- Ethereum is also down more than 10% and it broke the $250.00 support zone.
Bitcoin Price Analysis
After a strong upward move, bitcoin price failed to clear the $10,500 barrier. BTC to USD started a steady decline below the $10,000 and $9,800 support levels.
Looking at the 2-hours chart, bitcoin even settled below the $9,800 level and the 50 simple moving average (2-hours, purple). It even traded below the key $9,720 support area to enter a bearish zone.
Moreover, the price broke the $9,600 support and a declining channel on the 2-hours chart. Finally, the price spiked below the $9,500 level and traded as low as $9,467. At the moment, the price is currently consolidating losses above the $9,460 level.
An initial resistance is near the $9,580 level. It is close to the broken channel support and the 23.6% Fib retracement level of the recent drop from $10,016 to $9,467.
If bitcoin price manages to recover above the $9,580 and $9,600 levels, there are chances of a recovery towards the $9,700 resistance area. The next hurdle is close to the $9,740 level. It coincides with the 50% Fib retracement level of the recent drop from $10,016 to $9,467.
Any further gains could lead the price towards the $10,000 level. On the downside, an initial support is near the $9,460 level. If there is a clear break below the $9,460 support area, there is a risk of more downsides in the coming sessions.
The next major support area is near the $9,320 level. Overall, bitcoin price is under pressure and it could decline below $9,460 if it fails to recover above the $9,700 level.