Industry news:
Bitcoin recently surged past its crucial resistance at $9.9k and held on above $10k for some time. However, as sellers' pressure increased, the coin could not hold on to $10k and its price slumped by 4.55% within a few hours. Bitcoin was valued at $10,195 before it experienced a downward force and was pulled back under the $9,731, causing a flurry of liquidation on BitMEX Bitcoin longs.
According to data provided by Datamish, a total of $56.3 million longs were liquidated in the last 6 hours, with $600k worth short contracts expiring.
This decline in price also helped to fill a gap left at the end of trading on Friday on the CME futures. The Futures on CME group ended last week at $9,850 and on 10 February, the drop in price brought BTC back to the $9.8k range.
Technical analysis:
BTC got strong rejection of our Pitchfork median line, which is strong sign that more selling can come. My advice is to watch for selling opportuntieis with the target at $9.040..
MACD oscillator is showing bearish divergence on the daily time-frame, which is good confirmation for our short bias.
Support levels are set at the price of $9.570 and $9.040
Resistance level is seen at $10.000