Bitcoin experienced a significant decline today. He wiped out approximately a thousand dollars. It also reached the critical support of $27,000, increasing bearish concerns. So what levels are there for BTC after this stage? Let’s look at the reviews.
Bitcoin price battles for support after daily “death cross”
Bitcoin dropped to $26,978. Thus, Bitcoin erased all gains seen after September’s monthly close. It has also come full circle for October. Analyzing intraday performance, popular trader Skew noted the interaction between two moving averages (MAs) as well as a situation called a “death cross”. He noted that in March, the 100-day MA broke above its 200-day counterpart. Accordingly, the development is a “golden cross” event that traditionally points upward.
In one part of his comment, X said, “We technically experienced the death cross here. So if we move lower, we would eventually lean towards a squeeze to retest the 200D MA before the trend.” There is an emphasis. The daily chart shows the 200-day MA, which acts as a stiff resistance for Bitcoin/USD despite the early “October” gains. The pair is down almost $1,000 since Death Cross was confirmed on October 9.
What are the key levels?
Skew highlighted $27,300 and $26,800 as key levels for Bitcoin on shorter time frames.
$BTC 4H
Bears have price control here with loss of 4H EMA trendif price recovers above $27.3K I will see that as strength
More importantly any recovery needs to be spot driven from here imo, wont rule out a squeeze.
Below $26.8K this will look weak to me https://t.co/ymFr8bYtyf pic.twitter.com/HvxZnN4SrI
— Skew Δ (@52kskew) October 11, 2023
Another trader, Crypto Tony, states that when Bitcoin fell below $27,200, this triggered the change. He states that he has already taken a short position in such a situation. Meanwhile, popular trader Jelle states that “unused liquidity is being removed.” Accordingly, he accepts that a recovery or collapse from current levels of $27,000 will occur.
Lost the support zone overnight, so as per the plan i will be shorting this down while below the $27,200 level pic.twitter.com/dorNjbXObD
— Crypto Tony (@CryptoTony__) October 11, 2023
In part of his last comment, he said: “A more urgent buyback would have been expected. But this shows that the market wants to go lower.” he adds.
Will Bitcoin go lower before halving?
Current BTC price behavior has further fueled conservative views on how Bitcoin may evolve in the coming months. Popular analyst Rekt Capital is among those who see significant lowers, including a return to $20,000, as a possibility. Rekt Capital is eyeing a potential long-term crash from July highs. He then reiterated that the BTC/USD weekly chart so far lacks a higher macro low compared to late 2022.
The attached chart indicates that the BTC price will drop to the $20,000 level by Bitcoin’s halving in April 2024. The analyst states what will happen if a low level is seen in macro terms. When we look at it as Kriptokoin.com, it emphasizes that Bitcoin will follow a similar model to 2019. The price movement in 2019 was downward.
