BTC/USD (Bitcoin) Symmetrical Triangle Consolidation Just Under $10,000

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The price of Bitcoin (BTC/USD) is consolidating just below the key level $10,000 after pulling back from an attempted recovery. The pioneer cryptocurrency recently rallied to $14,000, a new multi-month high but then plunged to bottom again at around $9,060. 

It then attempted a fruitless recovery, which culminated in the formation of the current consolidative pattern. Since then, the price of bitcoin has been relatively rangebound within a symmetrical triangle formation.

BTC/USD (Bitcoin) Fundamentals Overview

From a fundamental perspective, the price of bitcoin is trading at the back of an eventful week. In the UK, Boris Johnson was confirmed as the New PM succeeding Theresa May. In the EU, economic data failed to live up to expectations while in the US it has been a mixed bag for the most part.

Friday’s preliminary GDP data beat expectations with 2.5% versus an expectation of 1.9% while consumer expenditure was also positive.

But from the cryptocurrency trading perspective, there has not been much lately with Facebook’s Libra launch being the latest major event to shake the coin industry.  This explains why the price of bitcoin has barely moved (relatively) this week.

BTC/USD (Bitcoin) Technical Analysis (the 60-min Chart)

From a technical view, the price of bitcoin appears to be trading centrally in the Relative Strength Index Indicator (RSI) in the 60-min chart. This suggests that the current consolidative pattern could continue through the start of next week since there is no pressure to move either direction.

As such, the bulls will be targeting short-term profits at around $10,100 while the bears will look to pounce by targeting profits at around $9557.

BTC/USD (Bitcoin) Technical Analysis (the Daily Chart)

In the daily chart, the price of bitcoin appears to have cooled down this week after last week’s heightened volatility. 

This has limited short-term trading opportunities but it gives trades time to ponder about long-term opportunities. $11,551 will be a good long-term target for the bulls while $9,462 will be targeted by the bears.

In summary, the price of the pioneer cryptocurrency appears to have found an even ground just below $10,000 to settle a bit before the next breakout. This presents interesting long-term trading opportunities for both the bulls and the bears.

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