Bitcoin’s bulls have lost nearly all of their strength after they failed to hold the cryptocurrency above its key psychological support level at $10,000, and BTC is now nearing its next critical support level at roughly $9,000.
Assuming that bulls fail to bolster Bitcoin in the near-term, analysts are noting that it is highly probable that BTC dips towards $9,000, and a dip below this level could spark another massive sell-off.
Bitcoin Plummets Below $10,000 as Analysts Eye Further Losses
At the time of writing, Bitcoin is trading down over 3% at its current price of $9,590, which marks a significant retrace from its recent highs of well over $10,000, which is where BTC previously found significant support that was lost yesterday.
During its recent sell-off, BTC appears to have found some levels of support around $9,500, which is the price at which it bounced earlier today after extending its downwards momentum.
The lower-$9,000 region has proven to be a strong region of buying pressure for the embattled cryptocurrency on multiple occasions over the past several weeks and months, and it remains unclear what type of long-term impact a dip below this region could have on the cryptocurrency’s near-term price action.
Big Cheds, a popular crypto analyst on Twitter, spoke about BTC in a recent tweet, explaining that he believes it could target its weekly support level at $9,050 next if bulls are unable to build any noteworthy strength in the near-term.
“$BTC #Bitcoin – If this continues to break down, keep an eye on weekly support at $9050,” he explained while pointing to the below chart.
$BTC #Bitcoin – If this continues to break down, keep an eye on weekly support at $9050 https://t.co/bJsvKZIxY2 pic.twitter.com/tMGkHMF7FZ
— Cheds (@BigCheds) September 24, 2019
Furthermore, it does appear that Bitcoin is currently sitting at a make-or-break price level that could determine which direction the crypto trends in for the second half of 2019, as Mr. Anderson, another popular crypto analyst on Twitter, explained that BTC is currently nearing a 21-week moving average test.
“$BTC update: Status Quo thus far. No surprises. Under 10.2 has always been Dump Susceptible. Once the trendline was lost 128 test followed by 144-D ema and 21-week were next. CME Futures have seen a first touch of the 21-week. Time to pay attention,” he explained.
$BTC update
Status Quo thus far. No surprises. Under 10.2 has always been Dump Susceptible. Once the trendline was lost 128 test followed by 144-D ema and 21-week were next
CME Futures have seen a first touch of the 21-week. Time to pay attentionhttps://t.co/9QIDNLV6Vw pic.twitter.com/rfOl29wDWO
— Mr. Anderson (@TrueCrypto28) September 24, 2019
The coming days will likely elucidate BTC’s near-term trend, as a break below its 21-week moving average and below its near-term support level of $9,050 could spark a massive downwards movement.