Bitcoin Price Retraces 6% in Spiralling Weekend Dump — CCN Markets

The bitcoin price dropped from $10,968 to $10,252 over the weekend within a two-day span by more than six percent against the U.S. dollar.

Bitcoin price dropped by more than six percent since weekly high at over $10,900
Bitcoin price dropped by more than six percent since weekly high at over $10,900 (source: coinmarketcap.com)

Previously, when the bitcoin price initially made its way to $10,900, a level that has been considered to be a heavy line of resistance since early August, some technical analysts expected the asset to test higher levels in the range of $11,400 to $12,000.

As $10,900 acted as immediate resistance, the bitcoin price fell to $10,200 and after attempting to recover to $10,900, it retraced to the low $10,000 region once again.

Bitcoin price still technically at a standstill

On September 3, DonAlt, a technical analyst and cryptocurrency trader noted that bitcoin has been moving in between a large range since July, with $12,600 as the top of the range and $9,400 as the bottom.

While bitcoin tested $12,600 regularly from July to mid-August, over the past three weeks, it has demonstrated signs of struggle in overcoming $10,900.

Earlier this month, DonAlt emphasized that bitcoin is likely to range throughout the foreseeable future and whichever support or resistance that breaks first is likely to determine the short term direction of the dominant cryptocurrency.

“Seems like a lot of people felt the same way. Both shorts & longs stacked & once it moved back above $10000 a squeeze followed. Daily candle took us straight from the bottom to the top of the range. Both 9k and 12k are old levels, whichever breaks first decides direction,” he said.

Traders have said that the breakdown of the $9,000 support level, which has acted as a strong level of defense for bitcoin, could result in a larger pullback for the asset, possibly to the $8,000 region.

Still, it is too early to determine the short to medium term trend of bitcoin and if it continues to move in between…

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