Bitcoin staged an assault on the $10k level within the last 24 hours as the bull took charge but failed to rally above it as the bears gathered some courage to resist the uptrend.
Disregarding the present bull market sentiments, analysts are now preaching caution while speculating that BTC may be heading for a post-halving price crash as seen in recent times.
Bitcoin 24 Hours Price History
The top cryptocurrency, having broken the resistance at the $9k area, set sail towards greater heights. As of May 7, 17:59 hours UTC, the price of bitcoin had overcome a major hurdle at $9.5k level and was launching an assault towards $10k.
However, prices met a stumbling block around $9,995 and went crashing down, finding support at $9.8k level. Thus, once again, it proves that the $10k is still a major resistance that BTC has to overcome before further uptrend is launched.
Bitcoin Technical Analysis
BTC/USD technical analysis turned bearish as soon as it hit highs slightly above $10,000. The Resistance Strength Indicator (RSI) is also returning from the overbought condition and leaning towards a formulating bearish trend.
The volume has lessened as investors wait for Bitcoin to substantiate the escape past $10,000. Nonetheless, if support at $9,800 ceases to function, Bitcoin could plunge lower to experiment with $9,000 again.
The gap between $9,000 and $8,500 has elevated the attention of buyers and if tested, Bitcoin could also make a comeback upwards. The major support stays at $8,400.
Bitcoin is presently trading at $9,791 having gained around 6% since yesterday.
Halving In 3 Days!
Bitcoin is established to go through a mining reward halving. The occurrence takes place every four years and sees mining rewards given to miners decreased by half.
This year’s halving will take place in just three days and investors across the border want to be prepared for the chunk of cake pursuing the halving as its consequence is predicted to ted culminate in a price rally.
As bitcoin block rewards halving pulls near, a pre-halving recovery is highly possible. Investors entering the market for a post-halving comeback could easily propel Bitcoin price above the $10,500 region. Regardless, if this comes to play, BTC/USD has the potential to reach $10,500 by the end of this weekend.
Analysts Voice Opposition To Post-Halving Bull Run
In opposition to a wide belief that bitcoin may rally hard after halving, many analysts are airing their opinion on bitcoin price. Due to popular demand, analysts have predicted a rational post-halving devastating price pullback which may see bitcoin shedding as much as 30% after its next block reward halving.
Coinpedia recently reported that popular technical analyst and trader, Rekt Capital, said that bitcoin’s eight straight weeks bull run may be followed by a devastating price crash if history were to repeat itself.
Similarly, Ontology co-founder, Andy Ji, aired related opinion of bitcoin’s post-halving price expectations.
Ji asserts that we can be “cautiously optimistic about the Bitcoin Halving in relation to price,” arguing that as the “news that the Bitcoin halving is happening is widely known, it’s less likely that it will drive price upwards as much as it did the last time.”
Also, NEM Ventures’ head of trading, Nicholas Pelecanos, stated that
“The 2012 halving was followed by an immediate 10% sell-off and the 2016 sell-off witnessed an extended 38% decline. Both halvings were followed by an approximate 50-day decline in hash rate”