BTC/USD Pre-halving Rally Hits $10k

8 במאי 2020

• Bitcoin price breached the $10,000 hurdle but failed to sustain gains towards $10,100.
  
• Bitcoin halving volatility set to heighten over the weekend session; retest of $9,000 seems possible.
  

Bitcoin price soared to highs above $10,000 for the first time since February. The impressive surge occurred following a sustained breakout above $9,500. In just two engulfing candles, the bulls had breached the $10,000 zone. A new May high has been achieved at $10,087 but BTC/USD said goodbye to the levels above $10,000 as fast as it reached there. At the time of writing, Bitcoin is trading at $9,912 amid a building bearish trend supported by the desire by the sellers to revenge.

Bitcoin Halving Is Nigh
Bitcoin is set to undergo a mining reward halving. The event takes place every four years and sees mining rewards given to miners reduced by half. This year’s halving will take place in just three days and investors across the border want to be ready for the piece of cake following the halving as its impact is predicted to ted culminate in a price rally. The surge to $10,000 during the Asian hours on Friday can be attributed to pre-halving volatility created by increased network activity.

Bitcoin Price Technical Picture
BTC/USD technical picture turned bearish as soon as it hit highs slightly above $10,000. The RSI is also retreating from the overbought and hints to a developing bearish trend. The volume has decreased as investors wait for Bitcoin to confirm the breakout past $10,000. However, if support at $9,800 fails to hold, Bitcoin could dive lower to test $9,000. The range between $9,000 and $8,500 has a higher concentration of buyers and if tested, Bitcoin could also bounce back upwards. The major support remains at $8,400.

Bitcoin Intraday Levels
Spot rate: $9,912

Relative change: -95

Percentage change: -0.95%

Trend: Bearish

Volatility: Low