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Since BTC/USD falls below the $20,000 price resistance level on the 26th of August, it has been a struggle to get above the price level. The price pull between demand and supply has kept the market flat, ranging from around $19,700 until today. Bitcoin will likely consolidate at around $20,000 for a while before finding another price level. The Kingcoin had made failed attempt to touch the $25,000 price level in mid-August. It began trending downwards after the failed attempt on the 15th of August. The buying pressure was only strong enough to consolidate the price for a short while. Buyers have not been strong enough to change the direction of the market since mid-August.
Information and Interpretations From the Indicators
The 9-day moving average has caught up with the price actions. This confirms the price consolidation sentiment. After the short while price consolidation, BTC/USD may change the direction of trends or continue the previous downtrend. This will depend on the strength of the bulls to push the price up. Looking at the MACD, the negative pink-coloured histogram gives the impression that bulls are still active and that the price is rising. The fast line is yet to cross the slow line although they have come very close to each other. The Stochastic RSI shows that the fast line has crossed the slow line by a tiny difference. The two lines now appear to be going together on a horizontal level. We have not seen much bullish move in the market today so the price may likely continue to range sideways.
Information From the 4-Hour Chart
From this point of view, we can see that Bitcoin has not done well today. Bearish momentum has brought the market below the nine-day moving average. The first three sessions favour bears. In the fourth session, the bulls are trying to come up. However, they still struggle below the 9-day moving average.
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