On September 27, the entire Bitcoin (BTC) community witnessed a bullish trend toward its value. The value of the digital asset managed to push over the $19,576 mark, the 20-day EMA for BTC.
The Bulls Failed to Sustain Pressure
Initially, the community witnessed a soar in the price of Bitcoin by over $19,576 but soon, it became a test of the bulls’ resilience against the bears.
As the price of Bitcoin was coming closer to the $20k level once again, the bears started to sell Bitcoin at a faster level. This caused the trading price of Bitcoin to start facing a downtrend.
The bears were stronger against the buying power of the bulls and they kept pulling BTC’s price lower. Soon, the bears were able to pull BTC’s price below the 20-day EMA.
Whole Day Gains were evaporated
The bulls had worked so hard to form a strong rally on September 27. However, all the gains generated by the bulls vanished due to the strong selling spree of the bears.
The gains simply evaporated and the bears benefited from this opportunity launching another selling spree. This formed a bearish trend and started to pull Bitcoin’s trading price at a faster scale.
By September 28, the bears were able to pull the trading price of Bitcoin down to $18,626. However, as the trading price of BTC reached the immediate support level ($18,626), the bulls triggered a buying spree.
Their immediate buying spree at the immediate support made it clear that the bulls were not going to let BTCs drop much deeper. Therefore, they would start buying BTC on a higher level if the largest cryptocurrency hits the lower levels.
The relative strength index for Bitcoin seems to have diverged a little into the positive territory. This is a positive sign for the investors with positive sentiments.
They may gain the confidence of buying BTC on a larger scale backed by a strong rally. However, the bulls must keep in mind that the bears may demonstrate a strong defense as BTC’s price reaches the 20-day EMA.
Bitcoin Price to Surge to $22,799
In the case where the bulls manage to push through the 20-day EMA, they will have grown enough confidence to push Bitcoin over the $20,000 level.
The bulls may earn the opportunity of pushing Bitcoin’s price higher, causing it to reach all the way up to $22,799.
The Drop to $14,500
Given the current market sentiments, the price of BTC might move into the bearish zone. The economic situation is constantly getting worse forcing the Feds to show more aggression towards interest hikes.
This would continue impacting Bitcoin and pull its price to $18,125. Going forward, BTC’s trading price may dip to a low of $17,622 followed by another dip to $14,500.