XBT/USD Analysis: Bitcoin Momentum Stalls But Is $10,000 Recoverable?
October 28th, 2019
BTC/USD perpetual inverse swap contract on BitMEX exchange went through a reckoning upward ride on Friday and over the weekend session. The asset rose from the ashes below $7,500 to highs above $10,500 in less than 48-hours. The entire crypto market also reacted in tandem with Bitcoin as they scaled above some key support levels.
Meanwhile, Bitcoin is trading at $9,564 amid a strengthening bearish momentum. The retracement from the recent high at $10,575 found support at the 50% Fib retracement level taken between the last swing high of $10,575 to a low of $7,294. Although the bulls pushed for an immediate recovery, $10,000 still remains out of reach.
XBT/USD 2-hour chart
The ongoing retreat has stepped beneath the short-term ascending trendline support. The price is still trading above the Moving Averages (MA) whereby the 50 MA on the two-hour chart is offering support at $8,671 and the 100 MA stands at $8,345.50.
The downward sloping Relative Strength Index (RSI) coupled with the increasing volume shows that the retreat could last longer or even retest $9,000. On the other hand, as long the gap between the 50 MA and the 100 MA continues to expand, Bitcoin bulls will remain relatively in control.
BitMEX price index stands at $9,575.61 while the contract has a 24-hour volume of 5.4 billion. The open interest stands at 731 million, at the same time, it’s the contract’s funding interest is 0.0231% in the last six hours.
Bitcoin Key Levels
Percentage change; 4.08% in the last 24 hours
Relative change: 8.91
RSI: Downward slopping