Bitcoin [BTC] Reverses at $8550, Rejects First Attempt at a Pullback: Analyst

Bitcoin [BTC] broke above $8700 on 26th May with a surprising bullish move. The parabolic rise of Bitcoin [BTC] recorded a 110%, after which, consolidation began near the $8000 level.

Bitcoin had started to built support at around $8000 levels. While Bitcoin’s momentum has been nothing but bullish since the past few weeks, a break above $8500 was unlikely.

Furthermore, the break-out has been supported by a further increase in demand as Bitcoin [BTC] has held the parabolic gains. Bitcoin has risen unprecedentedly without any significant pullback. It has only taken temporary stops to consolidate and then records another leg-up.

Also Read: Bitcoin [BTC] Price Analysis: Consolidation Above $8700 Continues; $9700 Bullish Target

Failed Pullback Price Action

Bitcoin price attempted a brief pullback attempt on 28th May 2019 as it fell by 2.38% on the four-hour chart to test $8550. However, the move was backed by instant buy volume as the market recovered above $8700.

The price of Bitcoin [BTC] at 16 Hours UTC is $8710. It is trading at par with yesterday’s price at this time.

BTCUSD
BTC/USD 4-Hour Chart on Bitstamp (TradingView)

Mati Greenspan, Senior Market Analyst at eToro, tweeted about the pullback event on Bitcoin

“Failed Bart pattern. First attempt at a pullback was rejected. This market has no fear!!”

Bitcoin pullback analysis
Failed Pullback Attempt

Also Read: Bitcoin Bear Market Is Definitively Over, But Bart Simpsons Pattern Still Looms: Analyst

Furthermore, for any asset, even in a bull market, a pullback is necessary for its sustainable increase. It forms higher highs and higher lows. However, building lows is also essential to the rise as well.

Tone Vays, crypto-trader and chart analyst noted,

“if this bull run continues closer to the halving hype then there may not be a significant pullback and the halving hype can drive Bitcoin into yet another bubble.”

The traders are expecting a significant pullback in Bitcoin [BTC] anytime as the rise can lead to unstable economic impacts in and around the cryptocurrency markets. Nevertheless, Bitcoin has been relentless as it continues to hold its gains.

However, a break above $10000-$11000 is also on the cards with the new-found vigor with institutional and retail investors.

Do you think Bitcoin [BTC] will move past $10000 before a pullback? Please share your views with us. 

The post Bitcoin [BTC] Reverses at $8550, Rejects First Attempt at a Pullback: Analyst appeared first on Coingape.

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