Bitcoin (BTC) Price Prediction – September 6, 2020
For the past four days, Bitcoin has been consolidating above the $10,000 support. On September 3 and 5, the price partially broke the $10,000 support and corrected upward. BTC/USD risks further decline if the $10,000 support is breached.
Resistance Levels: $10,000, $11, 000, $12,000
Support Levels: $7,000, $6,000, $5,000
The bulls and bears are in a price tussle above the $10,000 support. The king coin is making lower highs and lower lows as price descends from the $10,500 high. On the upside, if BTC rebounds above $10,000 support, price will rally above the EMAs or $11,000. Eventually, the coin will resume an upside momentum. Conversely, if the price continues to make lower highs and lower lows and breaks below $10,000 support, the downtrend will resume.
Otherwise, Bitcoin will be compelled to a range-bound move between $10,000 and $10,500. Meanwhile, Bitcoin is below the 20% range of the daily stochastic. The crypto is now in the oversold region of the market. The selling pressure has reached bearish exhaustion. Buyers are likely to emerge at the oversold region to push prices upward. Meanwhile, the coin is trading at $10,172 at the time of writing.
Whales Are Bidding to Purchase Bitcoin at $8,800 as the Coin Drops
Following the recent breakdown to $10,000 support, Whales are bidding to purchase Bitcoin on major exchanges like Bitfinex. The market data showed that it is unlikely for Bitcoin to drop to as low as $3,600 as the case was on March 13. This was the expectation of whales, thinking that Bitcoin will drop to lower support levels, which include $8,800. The recent sharp drop by Bitcoin was attributed to miners moving unusual large amounts of Bitcoin to exchanges. This was responsible for the price fall to $10,000.
Meanwhile, Bitcoin price is gradually falling as price reaches a low of $10,193. On the August 25 downtrend, BTC dropped to $11,100 and price was corrected upward. The retraced candle body tested the 50% Fibonacci retracement level. This indicates that BTC will fall and reach the low of 2.0 Fibonacci retracement level or $9,800 low.