August 13, 2020
Bitcoin bulls are struggling hard to conquer the struggle at $11,600 and the obstacle at the 100 SMA. Also, BTC/USD is still at risk of a return to $11,000 despite the support at $10,500; the bearish picture becomes evident.
The bitcoin price could have beforehand said goodbye to the significant level at $12,000. The cryptoassets are trying their best to build drive above $11,500 despite recovery from the support at $11,100 previously. The Asian session is considered by intensified selling pressure, particularly in the short term.
The 1-hour chart displays a Bitcoin price struggling to hold above the 50 Simple Moving Average (SMA). Looking upwards, action towards $10,600 is a limited signifying likelihood for losses under $10,500 surfacing in the future. The 100 SMA ($11,665) is the main hurdle that must come down for improvements observing $12,000 to become actionable.
The development of a short term rising wedge pattern mainly spells trouble for Bitcoin. A rising wedge pattern means a possible setback from a prolonged bullish trend (the recovery from $11,100). Bitcoin price thinning upward action could not overcome the conflict at the 100 SMA, as mentioned before, leaving the next obstacle at $11,700 unconfirmed.
As of now, BTC is trading at $11,554. The price dangles at the edge of the cliff, with losses likely to linger in the short term. The Relative Strength Index (RSI) is falling slowly to the midline. This reveals that selling activities are gaining power.
On another note, speedy declines are unlikely but cannot be ruled out entirely. The Moving Average Convergence Divergence (MACD) is holding above the mean streak. A minor bullish departure hints that buying pressure is moderately present but not sufficient to withstand action above $11,600. For now, founding support at $11,500 is essential for the fight to $12,000; otherwise, Bitcoin is still at risk of losses judging $11,000.