BTC seems to be at a crossroads as analysis seems to point at 2 ways the Bitcoin price could go in the coming sessions. One of them seems to be the more likely scenario where BTC unsurprisingly drops below $7,000 while the other is far more bullish, indicating a rally to the $10,000 mark. Let’s take a look at both outlooks:
We have seen the Bitcoin price drop from the $7,600 high in the last 3 days to its current level at $7,171 (at the time of writing). During this time, it broke through support at $7,300 and is now below SMA100 at the $7,220 level.
Initial resistance lies at $7,240 and SMA100 at $7,220. Meanwhile, Bitcoin continues to test support at $7,160 and $7,140, and major support lies at $7,120. If the price breaks below these levels, we could see another slide sub-$7,000. After that, support lies at $6,800 and $6,600.
Meanwhile, a double bottom has formed on the trading chart and a neckline has formed at $7,750, above which if the Bitcoin price breaks in the coming sessions, there could be an explosive rally on the cards.
The 50% Fibonacci retracement level of the recent drop from the $7,680 high to the $7,120 low lies at $7,400. If BTC breaks through this resistance, we could see it pump up to $7,700 and maybe even further.
A confluence of all these factors could see the Bitcoin price jump to $10,000 soon. At least that’s what the bulls are hoping. 2020 could be a great year for Bitcoin.