On August 29, the price of Bitcoin fell to its lowest value in the past month [$ 9320 by Bitstamp], which speaks in favor of a further downward movement to a psychological mark of $ 9000, CoinDesk Markets analyst Omkar Godbole said. In his opinion, an asset can reach this level within 24 hours.
On the daily chart, the 5-day and 10-day MAs are pointing down, and the 14-day RSI indicator has broken a serious support level at 50. At the same time, quotes are already under the 100-day MA, and the 50-day MA is starting to change direction favor sellers, writes Godbowl.
CoinDesk Markets Data
The analyst considers the next level of support to be the minimum of the last month – $ 9049.
On the 4-hour chart it is noticeable that yesterday's fall was supported by high trading volumes. The situation on the chart also speaks in favor of sellers. If the latter manages to gain a foothold below $ 9049, then the next milestone will be $ 8500.
CoinDesk Markets Data
A negative scenario will lose relevance only if it consolidates above $ 10,280, which, according to Godbowl, currently seems unlikely.
If Bitcoin closes a week below $ 9533, a double top pattern will form on the chart. This, Godbowl is sure, will open the way to massive sales, which could lead to a price of $ 7,550 and lower, which will put an end to the rally, which began in April.
CoinDesk Markets Data
It is worth emphasizing that the MACD indicator on the weekly chart for the first time since February fell below 0 . This can be considered one of the signs of a bearish reversal, the analyst added.
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