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The Bitcoin price plays around $10,000 levels and faces stiff resistance. Several indicators suggest a bullish view ahead for the short-term. Analysts expect the BTC price to rally further above $10,300.
Over the last week, the Bitcoin price has remained largely volatile as it plays around $10,000 levels. Earlier last week, the Bitcoin price surged from $9500 levels to all the way to $10,200 by Wednesday, February 19.
However, on the very next day, February 20, the BTC price lost all its gains in a sharp plunge below $10,000 levels. Last weekend, BTC was showing some strength moving northwards. On Sunday, February 23, the Bitcoin price moved all the way close to $10,000 but could hold up.
It is apparent that Bitcoin is facing a major resistance at $10,000 as the price slides further over 1% on Monday. As press time, BTC is trading 1.13% down at a price of $9749.24 with a market cap of $177 billion. The good thing is that Bitcoin is still trading above its 20-day-moving-average as per the Bollinger Bands Indicator.
Also, after its sharp fall on February 19, the BTC price continues to make higher lows in a shorter timeframe. A surge in the trading volumes can possibly push the BTC price above $10,100 levels.
Bitcoin Facing Major Resistance At $10,300 Levels and CME Gap
As per Keith Waring, a technical analyst and contributor on CoinTelegraph, $10,000 is a major resistance for Bitcoin. He says that Bitcoin is facing significant resistance at $10,300 levels. Besides, Waring also puts emphasis on another indicator called the CME gap to predict the BTC price in the short term.
He points out that there might be a higher probability of BTC price reclaiming $10,000 levels, the CME close stands at $9740 as on February 21. It means that traders believing in the CME gap narrative will hold their guns considering that the BTC price might revisit the gap.
On the other hand, crypto analyst Micheal Van De Poppe takes a bullish view on the BTC price ahead.
As long as this level remains support, I'm expecting continuation towards $11,000 / $11,600. https://t.co/tzlW7D72ay
— Crypto Michaël (@CryptoMichNL) February 23, 2020
Another interesting fact is that Bitcoin’s daily relative strength index (RSI) has moved past 55 levels and over the neutral territory. Also, the daily moving average convergence divergence (MACD) histogram shows that selling is decreasing amidst the increasing bull volume.
In the short term, analysts expect BTC to cross above $10,200 levels and further move confidently past $10,300 levels. If again the BTC price retraces in the CME gap at $9740, traders can see it as a purchasing opportunity and push it again above $10K.