In the past six days, Bitcoin (BTC) has been fluctuating between $9,400 and $10.250. The bulls are finding it difficult to penetrate the resistance above $10,000.
BTC/USD – 4 Hour Chart. Source: Trading View
On the 4-hour chart, the price fluctuation commenced after the breakdown at a low of $9,600, on February 17. However, after the breakdown on February 19, the bulls find it difficult to push above the $10,000 resistance. Today, the price slumped to $9,600 while attempting to break above the $10,000 resistance.
Earlier BTC was in the overbought region of the market. When the coin is in the overbought condition, buyers are not on hand to push BTC upward. Today, sellers emerge as BTC suffers another breakdown. The stochastic bands are current fluctuating below 80% range. There are indications that BTC is likely to take a downward move as in a bearish momentum resumes.
Bitcoin Faces Resistance at the $10,000 Price Level
BTC/USD – Daily Chart Source: Trading View
On February 23, the bulls make an upward move but were resisted at the $10,000 price level.
A second attempt at the $10,000 resistance resulted in another breakdown. The price dropped to a low of $9,600. The bears have narrowed down their defense to the $10,000 price level. In a situation like this, it will be an uphill task for the bulls to reach and break above the $10,400 overhead resistance.
Yesterday, the bulls are unable to break above the support line of the ascending channel. The resultant effect is that BTC dropped again. For the uptrend to have its proper perspective, the bulls must take price into the ascending channel.
At the moment, BTC is trading at level 52 of the daily Relative Strength Index and is still in the uptrend zone.
