Bitcoin Price Prediction: BTC/USD Faces Rejection at $10,600 as Price Continues Its Narrow Range Move

Bitcoin (BTC) Price Prediction – September 13, 2020
Today, Bitcoin reached a high of $10,623 and was repelled. BTC is now retracing to the lower price range. The coin will either retrace to $10,200 or $9,800 then resume a narrow range between $10,000 and $10,600. This has been the market situation since September 3.

Resistance Levels: $10,000, $11, 000, $12,000
Support Levels: $7,000, $6,000, $5,000

BTC/USD – Daily Chart

Bitcoin has been in a sideways trend soon after the last bearish impulse on September 3. BTC/USD is trading in a confined range. What determines the destination of BTC is whether the U.S dollar is weak or strong. Assuming the U.S dollar is weak, there is the tendency of BTC to rise. The $10,600 resistance should have been broken and the market will rally above $11,000 high. On the other hand, if the U.S dollar is strong, Bitcoin should have fallen below the $10,000 support. Meanwhile, the market has reached equilibrium as price consolidates in a range.

Bitcoin (BTC) Indicator Reading
Bitcoin is below the 20 % range of the daily stochastic. The coin has been in the oversold region since September 3 and buyers are yet to emerge to push prices upward. Similarly, the selling pressure has reached exhaustion suggesting buyers take control of price. The crypto is at level 42 of the Relative Strength Index period 14. It indicates that price is in the downtrend zone and below the centerline 50.

BTC?USD – Daily Chart

The crypto has formed a bearish descending channel as it fell from $12,400 to $9.800. All the candlesticks above the $10,000 support level are having long tails. These long tails are an indication that buyers are overwhelming at the current support as they push the price upward. Since September 3, the bulls and bears have been testing the $9,800 and $10,600 high respectively. On the upside, a strong bounce below the $10,600 resistance will both break the resistance and the resistance line of the descending channel. Bitcoin will resume uptrend if price breaks and closes above the resistance line. Nonetheless, if the momentum extends above the $11,000 high, Bitcoin is presumed to have recovered from the downtrend.

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