Bitcoin Price Analysis — September 13

Bitcoin (BTC) has dropped dramatically to the $10,300 area in the past few hours, after a brief attempt to break out of its current range. This decline is believed to have been an orchestrated pump-and-dump strategy by whales on smaller traders.

BTC grew by over $120 in a few hours, followed by a modest consolidation before bears induced a sharp correction, which sent Bitcoin back to its starting price point.

This is the second “fakeout” for the benchmark cryptocurrency at the $10,580 level, as it continues to trade within the $10,500 – $9,880 consolidation range.

Key BTC Levels to Watch

Before the fall, Bitcoin had been trading well above a strong ascending trendline. However, this drop has caused it to go below this trendline, which has been supporting the cryptocurrency for a while now. As $9 billion has left the cryptocurrency market in the past 24 hours, this line has now become a resistance for Bitcoin to contend with in the near-term.

The upper-$10,500 region remains the key area for Bitcoin bulls to break for them to take back control. If BTC overcomes that level, we could see the $10,800 and $11,000 region again. A successful break above the $11k mark will reinstate Bitcoin’s original bullish sentiment, which would help the cryptocurrency break its YTD record.

Meanwhile, immediate support can be found at the 50SMA ($10,262) followed by the $10,000 psychological line. Further declines from that level could bring the $9,800-600 region in the short-term.

So far, BTC has evaded closing a candle below the $10k level. If this happens in the near-term, however, it could cause bulls to lose confidence and trigger an intense sell-off.

Total market capital: $337 billion

Bitcoin market capital: $190 billion

Bitcoin Dominance: 56.3%

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