Bitcoin (BTC) Price Analysis: BTC Breaks Triangle Pattern As Selling Underways

Bitcoin (BTC) Price Analysis: BTC Breaks Triangle Pattern As Selling Underways

After dropping from around $10500 over the weekend, Bitcoin has been roaming around the 9500 price zones, an indicator of weakness in buying pressure. Inversely, the bears appeared to be defending the $10000 resistance. Still, BTC is up by +2.60% overnight as we can expect a more positive move to play out if the buyers can override the $10000 resistance.

Bitcoin (BTC) Price Analysis: Daily Chart – Bullish

Key resistance levels: $9700, $9900, $10200, $10500
Key support levels: $9200, $9000, $8800, $8600

The daily chart presents a bullish trend for Bitcoin with the current price at $9434. The last three days price increase was characterized by a bullish candle which is now becoming choppy. This suggests that buying pressure is getting weak as the $10000 proves tough for the market to overcome, although $9800 is near support for the market.

BTCUSD, Daily Chart – October 28

If we can close above the $10000 today, Bitcoin’s price will proceed to $10200 and $10500 in no time. For now, immediate support lies at $9200. A daily close beneath $9000 may keep price back in a consolidation mode, testing $9800 and $9600. While the RSI shows that the bulls are present, the MACD revealed that the bulls are yet to gain momentum. A crossover should confirm a strong bullish momentum for Bitcoin.

Bitcoin (BTC) Price Analysis: Hourly Chart – Bullish

Bitcoin is breaking out of the triangle pattern after subduing with choppy price actions for two days. The bulls are losing momentum as the bears regroup back on a short-term. We may see a serious drop to $9200, $9000 and $8800 support if the supply becomes heavy. The interesting thing is that the technical RSI and MACD signal a bearish divergence. Considering the current reversal pattern, BTC is expected to lose value in the next few hours.

BTCUSD, Hourly Chart – October 28

Meanwhile, Bitcoin’s price can be unpredictable at times as we may see a bullish continuation amidst the bearish signal. In case of a false breakout, we may see a sharp rise to $10400 but the nearest resistance lies at $9600, $9800 and $10000. However, the short-traders seemed to be opening a position now.

BITCOIN SELL SIGNAL

Sell Entry: $9477
TP: $9100
SL: $10000

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Author : Michael Fasogbon

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Michael Fasogbon is a professional Forex trader and cryptocurrency technical analyst with over five years of trading experience. Years back, he became passionate about blockchain technology and cryptocurrency through his sister and has since been following the market wave.