Bitcoin ran into bids in early European hours yesterday, rising to a four-day high of $9,885, adding credence to Sunday’s bullish “outside day” candle. Further, BTC also witnessed a bull flag breakout (a bullish continuation pattern) on the hourly chart.
However, the bulls ran out of steam near the 50-day moving average (MA) resistance of $9,920 in the early U.S. hours.
As of writing, bitcoin is trading at $9,297, according to CoinDesk’s Bitcoin Price Index (BPI). The cryptocurrency has depreciated by 4.59 percent in the last 24 hours, as per data source CoinMarketCap.
Further, it also established the 50-day MA as a strong resistance (seen today at $9,888). BTC alsoclosed yesterday (as per UTC) below the Feb. 25 low of $9,280, marking a failure to hold above the double top neckline.
The momentum studies show bear bias too. The 10-day moving average is sloping downwards, and there’s a bearish crossover between the 10-day MA and the 50-day MA. So, it appears the odds are stacked against a move above $10,000…