Bitcoin’s recent price action has done little to offer investors with insight into the cryptocurrency’s current trend, as it has been stuck between $9,000 and $10,000 for an extended period.
There are a few crucial price regions within this trading range that could hold massive sway over the cryptocurrency’s near-term trend, and one analyst believes that the first level to watch exists just above BTC’s current price.
He notes that a break above $9,260 could be all that is needed to boost the benchmark digital asset up towards $9,500. He does contend that the trend favors sellers as long as BTC is below $9,700.
It is important to note that BTC is in the process of forming a coveted “bull cross” between its 8-day and 34-day EMAs. This could provide it with some momentum in the days and weeks ahead.
Bitcoin Pushes Past $9,200 as Buyers Catalyze Some Slight Momentum
At the time of writing, Bitcoin is trading up over 1% at its current price of $9,240. This marks a notable climb from daily lows of $9,100, and it does appear that buyers are trying to generate some upwards momentum.
The crypto is now pushing up against some resistance. One analyst is noting that $9,260 is a key short-term level to watch; as a firm break above it could catalyze significant upside.
The analyst also contends that the crypto remains in bear territory as long as it trades below $9,700.
“BTC: If price can close above $9260 here I think it pushes as high as $9500s. And then back down at least for short term. Wouldn’t complain if Bitcoin just shot straight up here, but the trend is still down until over $9700s,” he said.
Image Courtesy of Josh Rager. Chart via TradingView.
If it does navigate back into the upper-$9,000 region, another rejection here will just further elucidate the weakness that has plagued buyers over the past several weeks, potentially causing it to see even further downside.
BTC is About to Form a Bull Cross
One factor that could help boost Bitcoin higher in the coming hours is the potential formation of a coveted bull cross between its 8-day and 34-day moving averages.
Depending on which EMAs are crossing, these technical patterns vary in their significance. Bull crosses between these moving averages are fairly common, as the last one occurred on June 22nd.
Another respected pseudonymous trader spoke about this in a tweet, saying:
“Bitcoin: 4 hour update – After re-test, now flirting with 8/34 EMA bull cross. Last cross (on June 22nd)”
Image Courtesy of Big Cheds. Chart via TradingView.
This could, however, be enough to push Bitcoin over its near-term resistance, thus catalyzing some short-term momentum.
Featured image from Shutterstock. Charts from TradingView.
