Crypto market have been struggling to gain any sustainable momentum in either direction throughout the past several weeks. Bitcoin’s price has been steady during the past several months, so buyers and sellers couldn’t gain firm control of its near-term outlook. However, analysts say bulls try to take control while Bitcoin is stuck below its key resistance level.
10,800 is the first key resistance level that need to be broken above, with the region between $11,000 and $11,200 being the next zone that traders must surmount.
Traders also noted that Bitcoin is still stuck beneath its 200-day EMA, which is a trend-defining level that need to be recaptured in the near-term.
Bitcoin’s momentum stalls as buyers struggle to break $10,800
Yesterday Bitcoin was trading up marginally at its current price of $10,730. This is around there it has been trading at throughout the past 48 hours.
Whether or not bulls or bears can step up and take control of its near-term outlook should depend largely on how it reacts to a test of this level.
If surmounted, the next key price region to closely watch is between $11,000 and $11,200.
Analyst: Bitcoin remains stuck below its key200-day moving average
A level that has consistently proven to be trend-defining historically is the 200-day moving average.
Sustained bouts of trading above, or below, this level has contributed to assets such as Bitcoin seeing multi-year trends.
At the present moment, Bitcoin is trading below this level, leading analysts to note that a break above it is imperative for the BTC’s near-term outlook.
Where the whole market trends in the coming few days and weeks may hinge solely on Bitcoin’s reaction to this key technical level.
A famous trader and crypto analyst says that traders’ gut reaction to Bitcoin’s recent price action might be wrong as the number one cryptocurrency nears its monthly close.
DonAlt said the prevailing bearish sentiment for BTC appears to be unwarranted.
“It’s very, very weird seeing sentiment be this bearish, with neutral or negative funding above $10,000. Don’t think I can remember a time where that has happened before.”
The trader says that the recent BTC pullback is in fact a strong bullish signal.
Currently looks like a simple retest of support, as long as we don’t crash in the next couple days, that’s typically bullish.”