Bitcoin has been stuck in the lower-$9,000 region for the past several days and has failed to push against its near-term resistance level around $9,500 that has held strong over the past several days and weeks.
Importantly, Bitcoin is also currently stuck beneath a key technical level that could mean that it is still firmly caught within a bear market despite its recent meteoric surge from $7,300 to over $10,600.
Bitcoin May Still Be Bearish Despite Short-Term Uptrend
At the time of writing, Bitcoin is trading up just under 2% at its current price of $9,340, which marks a slight climb from its daily lows of $9,150 and its weekly lows of $9,000.
Bitcoin is currently taking a breather after incurring its massive surge last week that sent it from lows of $7,300 to highs of $10,600 before its rally grinded to a halt and retraced to the lower-$9,000 region.
Although BTC is still sitting well off of its recent lows, one technical indicator may signal that it is still firmly in a bear market.
StormXBT – a popular cryptocurrency trader and analyst on Twitter – spoke about this in a recent tweet while pointing to the fact that BTC’s price is still firmly stuck beneath its accelerator ATR, a technical sign that indicates an asset’s long-term trend.
“Let’s see if Xi Jinping could snap the accelerator ATR where the previous local highs couldn’t,” he said while pointing to the chart seen below.
Let's see if Xi Jinping could snap the accelerator ATR where the previous local highs couldn't pic.twitter.com/a5p6RCObjo
— storm (@stormXBT) November 2, 2019
In the short-term, analysts do believe that Bitcoin could be positioned for some bullish momentum in spite of it currently pushing up against its HTF resistance.
NebraskanGooner, another popular crypto analyst, spoke about this in a response to a recent tweet, explaining that although he sees signs of bullishness on BTC’s two-hour and four-hour chart, buyers have yet to successfully push the crypto above its HTF resistance.
“I’ve longed below $9300 twice today but closed above each time to secure profit. We are at HTF resistance and have yet to see buyers fully step in. I think 2H and 4H look bullish but we’re still basically just chopping sideways,” he explained.
Well said.
I've longed below $9300 twice today but closed above each time to secure profit. We are at HTF resistance and have yet to see buyers fully step in.
I think 2H and 4H look bullish but we're still basically just chopping sideways.
What do u think is most likely scenario?— NebraskanGooner📈 (@nebraskangooner) November 2, 2019
The coming few hours and days will likely illuminate whether or not Bitcoin will end up being caught in a long-term uptrend, or if it will soon incur further volatility.