Bitcoin Today Price Today Analysis
At the moment of writing the article, bitcoin is at 10,466 USD
In the past few years, the price of Bitcoin has increased dramatically. Specifically in 2017, crypto-assets particularly Bitcoin give whopping returns. Eventually, retail investors start perceiving Bitcoin as a lucrative asset. But recently, the growth of Bitcoin is engulfed in consolidation.
The sluggish price movement is experienced after the recent recovery from an unprecedented dip wherein Bitcoin price fell below $10,000. From then on, Bitcoin remains stable at $10,400. Meanwhile, a well-known crypto analyst and statistics tool Bollinger Band speculates this ongoing consolidation will soon reach its end.
Despite the prediction of Bollinger Band, the volatility continues to persist. Therefore, Bitcoin is heading towards the volatility and the dramatic price movement, but the question arises in which direction would it go? Whether we can expect an uptrend or decline in prices in an upcoming future.
BTC/USD 1-Hour Chart
By having a deeper look at this graph, you’ll be astonished to know even though the prices of Bitcoin is declining consistently, but its hash rates keep on increasing.
Despite an unprecedented drop in Bitcoin prices from the peak level of $12,000 to the prevailing market price of $10,225, the Bitcoin network hash rate is continuously going up particularly in September. Prior to the recovery of the hash rate to the current 128 TH/s in August, to hash rate 119.39 TH/s. Technically speaking, the hash rate is the measurement of computational power cumulatively put together by miners to the network. It is also used to comprehend the network’s strength and sometimes it depicts how resilient the network is against the 51% network attack.
Some crypto analyst strongly believes that the rainfall in China is the leading cause for the increment in the hash rate that leads to affordable electricity. As soon as the prices stabilize, Bitcoin prices are most likely to rebound in an upcoming future.
Bitcoin Hashrate Chart
Bitcoin prices are heading towards the uptrend despite the consolidation depicted in the graph. The 4-hour chart demonstrates the prices are consistently increasing within an apex of a symmetrical triangle. If the momentum is somehow maintained after reaching the threshold of 50 SMA, then most likely Bitcoin will receive an upward boost. If we assume 50 SMA as a support, there is a great likelihood that the price breaking will go above the symmetrical triangle. Such a breakout could lead to BTC prices exceeds $11,000.
BTC/USD 4-Hour Chart
The upward momentum of the BTC price movement is governed by the Moving Average Convergence Divergence (MACD) as the indicator proceeds closer to the midline. If the MACD indicator remains in the positive region for a longer than an expected time then the chances of uptrend become more prominent.
Amidst visualizing the graph, it is imperative to realize that $10,000 was resistance on Friday, therefore, at the moment it pursues its work as a formidable support area. Meanwhile, the Relative Strength Index (RSI) ensures the consolidation, as you might have already experienced with Bollinger Brands. A Breakout is most likely to take place in the near term as the Bollinger Brands shrink.
Bitcoin In/Out Money
It is quite evident from the technical analysis and the on-chain consolidation, the bellwether cryptocurrency is likely to move towards the highest level soon after the consolidation. In BTC target towards the uptrend, it firsts has to cover the resistance between $10,273 and $10,582. At this stage, the breakout is likely to occur, which would boost the BTC prices within the range of $11,509 and $11, 818. When the $12,000 critical level is transformed into support, Bitcoin price could dramatically escalate to as high as $13,000 to an all-time-high.
Even though the bullish outlook of the crypto market persists, it is worth noting that a sudden spike in selling pressure that might be due to any unwanted reason will offset the positive outlook. Keeping in mind that the symmetrical triangle is most likely to transform into a bearish flag pattern which in turn puts the more pressure on the support that lies in the range of $9,945 and $10,254.