Bitcoin Bulls Will Target a Retest of Yearly Highs After $10,000

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The price of bitcoin (BTC/USD) on Monday continues to experience strong resistance just below the $10,000 level in a slightly bullish consolidative triangle formation. Bitcoin is trading within a wedge formation with a flat top and a rising base. 

It is currently pinned at around the 100-hour and the 200-hour SMA positions in the 60-min chart. Bitcoin has recently pulled back to reject a cross-over to overbought levels of the 14-hour RSI.

Bitcoin Price Fundamentals Overview

From a fundamental perspective, the BTC/USD is trading at a time of increased market uncertainty amid the coronavirus pandemic. The ongoing protests in the US have also increased volatility in the market, which has boosted investments in safe-haven assets. Bitcoin is increasingly becoming a safe-haven asset with declining volatility and increased acceptability. Its most recent halving has made it rarer thus improving its store of value. This will continue to boost its price against fiat currencies.

The latest US economic data appears to be weakening the SU dollar, which arithmetically boosts the BTC/USD pricing. Last week, the US non-farm payrolls posted more than 2.5 million new jobs against a forecast fo 8 million job losses. This inadvertently affected the greenback adversely. The ISM manufacturing PMIs and the non-Manufacturing PMIs returned mixed data, which again increased uncertainty in the US markets.  This week, traders will be looking forward to JOLTs Job openings and the Fed interest rate decision for guidance.

Bitcoin Price Technical Analysis (the 60-min Chart)

Technically, the bitcoin price appears to be trading within a slightly bullish triangle formation. This indicates a short-term bullish bias in the market sentiment. However, with the top flattering, the bull run could be about to end.

The bulls will be targeting short-term profits at around $9,924 or higher at $10,181. On the other hand, the bears will look to pounce for pullback profits at around $9,432 or lower at $9,190.

Bitcoin Price Technical Analysis (the Daily Chart)

In the daily chart, the BTC/USD appears to have recently pulled back just below the current yearly highs of about $10,456. It continues to trade well above the 76.40% Fib level after recovering from the February-March plunge.

The bulls will be targeting long-term profits at around 100% Fib level at $10,456 or higher at $11,648. On the other hand, the bears will target long-term pullback profits at around 76.40% and 61.80% Fib levels at $8,931 and $7,959, respectively.

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