Bitcoin Remains Stuck Below Key Technical Level as Bulls Try to Take Control
- Bitcoin’s price has been stagnant throughout the past several weeks and months, with buyers and sellers being unable to gain firm control of its near-term outlook
- The crypto is now pushing up towards $10,800, which has proven to be a heavy resistance level throughout the past several days and weeks
- If this level continues holding strong as resistance, whether or not it is broken above should offer profound insights into BTC’s near-term outlook
- A firm break above this level could open the gates for the cryptocurrency to see a move up towards $11,000
- Ultimately, how the benchmark crypto reacts to the selling pressure here will determine its mid-term trend
Bitcoin and the entire cryptocurrency market have been struggling to gain any sustainable momentum in either direction throughout the past several weeks and months.
Analysts are now noting that where the market trends next will likely depend largely on how the crypto reacts to a few key levels.
$10,800 is the first resistance level that must be broken above, with the region between $11,000 and $11,200 being the next zone that buyers must surmount.
One trader also noted that Bitcoin is still stuck beneath its 200-day EMA, which is a trend-defining level that must be recaptured in the near-term.
Bitcoin’s Momentum Stalls as Buyers Struggle to Break $10,800
At the time of writing, Bitcoin is trading up marginally at its current price of $10,730. This is around there it has been trading at throughout the past day.
Whether or not bulls or bears are able to step up and take control of its near-term outlook should depend largely on how it responds to a test of this level.
If surmounted, the next key price region to closely watch sits between $11,000 and $11,200.
Analyst: BTC Remains Stuck Below Its Key 200-day Moving Average
One level that has consistently, throughout history, proven to be trend-defining is the 200-day moving average.
Sustained bouts of trading above, or below, this level has contributed to assets like Bitcoin seeing multi-year trends.
At the present moment, Bitcoin is trading below this level, leading one analyst to note that a break above it is imperative for the crypto’s near-term outlook.
“Bitcoin’s only enemy is the 200ema – resistance of cloud. Let’s break above please, I miss the smell of financial freedom,” he said in jest while pointing to the below chart.
Image Courtesy of Teddy. Chart via TradingView.
Where the entire market trends in the coming few days and weeks may hinge solely on Bitcoin’s reaction to this crucial technical level.
Featured image from Unsplash. Charts from TradingView.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @Cole Petersen, @Khareem Sudlow