Following a week or so of relative inactivity in the mid $10k level, bitcoin price has broken down through support today. The asset has traded in five figures for the best part of this month but found itself back in the $9k zone during late trading yesterday.
Bitcoin Could Drop Below $9k
A death cross formed on the one hour chart earlier this week and as if in response, the downtrend intensified. Yesterday saw a slow but steady decline until one fat red candle dumped BTC all the way back to $9,900 according to Tradingview.com.
Within a few hours, bitcoin price rapidly recovered to $10,250 but could not hold gains and has begun to fall back again, currently trading at 00. A fall below five figures again is looking inevitable and support lies around the $9,750 level.
According to crypto analyst ‘CryptoFibonacci’ the bounce was exactly where a Fib cluster lined up which provided a solid support for this short timeframe.
“An important Fibonacci retracement cluster lined up just perfect. Not saying that is the bottom, but it was tradeable.”
$BTC 4 hour Chart. Why did it bounce where it did?
— CryptoFibonacci (@CryptoFib) September 11, 2019
With a test of the lower trend line of the large pennant formation, a breakout could be imminent. ‘Welson Trader’ identified a buying opportunity at every dip, and this one would have paid off with its 3.5% bounce.
“Noobs would’ve sold this dip,