Bitcoin has consistently hovered above $9,200 as BTC shows signs of weakness. The bottom line is that after the last bearish impulse of June 25, Bitcoin has been consolidating between $9,000 and $9,500.
Buyers have tested the $9,500 resistance to break into the previous highs. The bulls were overwhelmed as prices dropped into the price range. The coin is weakened as it can hardly push above $9,200. On the other hand, the Bears have the advantage as the $9,000 support was broken on three occasions but price corrected upward.
Besides, the $9,000 and $9,200 support has been holding consistently. The major advantage of Bitcoin upside range trading is that the lower region of $9,000 has been holding. Nonetheless, if buyers push BTC above $9,500, the price movement will accelerate. There is also the possibility of a breakout if the current consolidation continues to hold. Any breakout will attempt to breach the $10,000 resistance. Once the $10,500 resistance is broken, a rally $11,500 is likely.
The EMAs are horizontally flat which suggests that the market is consolidating. The Relative Strength Index is at level 50. It indicates that there is a balance between supply and demand. The price bars are neither below nor above the 12-day EMA and the 26-day EMA. It implies that the price movement is doubtful.
Key Resistance Zones: $10,000, $11,000, $12,000
Key Support Zones: $7, 000, $6, 000, $5,000
Bitcoin's next move is uncertain as shown by the small body candlesticks. These candlesticks are called Doji and Spinning tops. It describes that buyers and sellers are undecided in which direction Bitcoin is trending. A breakout is likely to occur.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.