Analyst Says $9,800 BTC is Possible After Overnight Upside Rejection

According to an analyst, Bitcoin must be ready for hitting $9,800 valuation after an overnight upside rejection took place.

A pseudonymous trader shared a possible downside scenario as BTC/USD did not maintain support beyond above $11,200 on Sunday. The pair dropped fell to as low as $10,750 at one point in time because of this. He stated:

upside rejection

As Bitcoin’s consolidation overstretched and moves inside the $10,800-$11,200 area, the statement came along. Attempts to keep bullish momentum beyond $11,200 were all rejected. At the same time, a falling BTC/USD did not flourish its bearish bias because of the $10,800-level.

All over again, the analyst was able to watch a retest of $10,800 due to the rangebound price move. Regardless, he expected a broader bearish move this time.

UPSIDE REJECTION

That certain analyst did not share a specific reason for bearish predictions. But seeing his previous tweets, it seems that if Bitcoin breaks above $11,250, he is ready to roll over to the bullish side.

The analyst did not give an immediate reason behind his But based on his previous tweets, it appears that should. A part of his predictions was presented during the weekend session:

upside rejection

Furthermore, after the analyst’s call, BTC/USD dipped towards $10,750 a day after.

In the coming session, BTC/USD still has the potential to test $11,250 as it is now trading near $10,950. Because of the supportive macroeconomic fundamentals, like the recent weakness in the US dollar index, this is made possible.

CLOSING THOUGHTS ON BITCOIN

It might leave the US dollar under additional stress if Mr. Mnuchin, US Treasury Secretary, commits that the stimulus deal will reach a conclusion. As a result of that, Bitcoin will definitely be more bullish in the short-term.

The trendline of the Triangle pattern could be tested by BTC/USD. Nonetheless, there might be a downside scenario towards $10,000 – and below because of a fundamental misfire, like having no clarity from Mr. Mnuchin on the stimulus deal.

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