Bitcoin Price Analysis Oct.10: Not yet bullish

Since our Bitcoin price update 36 hours ago, and following the high RSI and the encounter with the long-term descending line, Bitcoin had retraced back. As of writing these lines, support level of $6500 (200 days moving average along with ascending trend-line) seems to hold.

But the main title is that Bitcoin is not yet ready to surpass the long-term descending trend-line from the daily chart.

Now what?

• Bitcoin had also lost $200 over the past two days, followed by a high volume of sellers.
• From the bear side: Support lies around $6500 area (as mentioned, MA-200 along with ascending trend-line), next support lies at $6400 and $6250.
• From the bull side: The $6600 support (MA-50 along with resistance) had now turned resistance. The major resistance level now lies around $6690 (long-term descending trend-line).
• RSI levels are at their LOW levels; We could expect a little correction upwards since the market is oversold.
• Bitcoin short positions on BitFinex had gained momentum and are now at their highest level since September 22.

BTC/USD BitFinex 4 Hours chart

Cryptocurrency charts by TradingView. Technical analysis tools by Coinigy.