On January 26, Bitcoin fell to its presumed low at $8,250 and bounced up. It was assumed that at this low the price will bounce up and the $9,200 resistance would be breached. Later, the momentum will extend to $10,300. Will the bulls maintain the current uptrend? Bitcoin is approaching the $8,800 price level and may face resistance as it moves up.
Nonetheless, a successful bounce over $9,200 and subsequent sustenance to $10,000 will signal the resumption of the uptrend. Bitcoin will comfortably ride the uptrend. Conversely, if sellers put up strict resistance at the $9,200 price level, then Bitcoin will go on its range-bound move.
Presently, BTC is trading beneath the 50% range of the daily stochastic. However, the bands of the indicator are making a U-turn indicating a change in the trend. That is, BTC is in bullish momentum. Bitcoin is anticipated to go up to retest the previous highs. The EMAs are still supportive beneath the price bars.
Key Resistance Zones: $10,000, $11,000, $12,000
Key Support Zones: $7, 000, $6, 000, $5,000
As earlier indicated, the downtrend was completed without interruption on January 25. The completion was at a low of $8,250. At the same time, BTC has a new uptrend to the previous highs. A successful uptrend without interruption by the bears will push Bitcoin to the high of $10,300 price level. Nonetheless, BTC is rising as the price climbs above the EMAs.
Disclaimer. This analysis and forecast are the personal opinions of the author 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.