Bitcoin faces ‘ton’ of resistance after daily BTC price gains pass 5%


Bitcoin (BTC) tried to flip and maintain $26,000 on the Sept. 12 Wall Street open as a swift BTC price rebound excited merchants. 

BTC/USD 1-hour chart. Source: TradingView

BTC price provides 5.5% in 24 hours

Data from Cointelegraph Markets Pro and TradingView confirmed the biggest cryptocurrency holding the bulk of its 24-hour gains, which at one level totaled 5.5%.

At the time of writing, $26,000 fashioned a spotlight, already flagged as an important line in the sand for Bitcoin bulls to reclaim.

“There we go, range lows reclaimed. Want to see another test of 27 now,” popular trader Jelle told X followers in a single of a number of posts on Sept. 12.

BTC/USD annotated chart. Source: Jelle/X

Fellow dealer Crypto Ed went additional, hoping for a visit to $28,000 as the final word consequence on shorter timeframes, with one other “sweep” of the vary lows first.

BTC/USD annotated chart. Source: Crypto Ed/X

Eyeing the percentages of continued upside, nevertheless, Keith Alan, co-founder of on-chain monitoring useful resource Material Indicators, warned that vital resistance lay overhead within the kind of varied transferring averages (MAs).

Material Indicators efficiently forecast the newest upside, and Alan continued to underscore the importance of $24,750 holding as assist.

“There is a ton of technical resistance overhead starting with the 21-Day MA, a #DeathCross between the 50-Day and 200-Day MAs, and ultimately, the 100-Day MA which has confluence with the range high,” half of his newest commentary stated.

“$24,750 remains the critical level to hold to keep this rally alive. Focus on how PA interacts with those levels if/when they are approached.”

BTC/USD 1-hour chart with 21, 50, 100, 200-day MAs. Source: TradingView

Alan added that the longer-term image remained the identical.

“Don’t expect a straight rip to the top of the range,” he concluded.

“Clearing any one of these resistance levels takes some strength from bulls and the herd has to regroup and graze a bit before they can go after the next level.”

Research predicts “true bottom” for crypto in late October

Casting a cursory take a look at the remaining of Q3, in the meantime, buying and selling platform QCP Capital warned that Bitcoin and crypto confronted lots of potential promoting strain.

Related: Bitcoin UTXOs echoing March 2020 ‘black swan’ crash — New research

In addition to macroeconomic triggers, such because the United States Federal Reserve’s upcoming decision on interest rates, industry-specific hurdles lay forward.

In its newest market replace, released on Sept. 12, QCP referenced “a concentration of upcoming bearish events that only turn neutral from mid-October onwards.”

“This includes a likely higher-than-expected CPI tomorrow and a more-hawkish-than-expected FOMC next week, plus FTX token asset sales, and Mt. Gox over the next month to cap things off,” it wrote.

“Hence while our theory implies a bottom early next month, we think the true bottom will come in mid-late October when the bad news cycle has run its course.”

QCP added that it anticipated a conversely “bullish” finish to the 12 months and begin of 2024.

This article doesn’t comprise funding recommendation or suggestions. Every funding and buying and selling transfer includes threat, and readers ought to conduct their very own analysis when making a call.