Bitcoin (BTC) Dips Below $10,000 USD As Bulls Enter Panic Mode. Is It Time To Sell?

  • Bitcoin (BTC) dipped below $10,000USD for the first time in a week following a $500 drop in an hour.
  • Market sentiments are turning bearish on the short timeframe charts as $9,500 USD key support levels lingers.

Bitcoin (BTC) price crashed below the psychological support level at $10,000 USD in the early trading hours on Saturday in the US market as buyers take a break from the extended bullish run that the top crypto has been on since the start of 2020.

Having experienced a 45% growth during this period, BTC/USD charts are now signaling an upcoming bearish run as the price experienced a $500 dollar dump at 12.00 GMT to trade at $9,891 USD, as at time of writing. The sharp moves in BTC price saw over $96 million USD in BitMEX XBT contracts get liquidated over the past 24 hours.

Bitcoin dips to $9,800s level

In one of the most shocking moves earlier on Saturday, the Bitcoin bulls lost their strength holding on to the key support level at $10,000 USD, as bears took over the market to push BTC’s price 5% lower in the past 24 hours. Currently wobbling in the $9,800-$9,900 USD support levels, BTC looks set to drop lower as the market adjusts from the skyrocketing momentum in the past month or so.

Image: TradingView

Looking at the daily charts, the price still remains firmly in an uptrend but looks set to test the bearish channel support at $9,700 for any chance of a revival in the market. The relative strength index (RSI) oscillates at a neutral level at 57 with a bearish projection as sellers flock the market.

Market to $9,500, time to sell?

The dripping value in BTC signals a possible reversal if the price breaks below the key resistance at $9,700 USD. This may be the case in the coming days as a whale moved over $10 million in BTC to Binance exchange threatening a selloff.

However, the volumes being experienced in this short reversal do not give reasons for a possible start of capitulation. Bulls are likely to retake the market in the near term and a bounce off the key support levels will start a fresh uptrend that may set the top crypto towards 2019 highs. Hold on, it may just be a blip as BTC targets $12,000!