The price of Bitcoin is regaining bullish momentum, however, the critical resistance level around $11,000 may remain intact for an extended period.
While Bitcoin (BTC) has been showing weakness in recent weeks as BTC price dropped from $12,000 to $10,000, some light at the end of the tunnel is showing up.
The price of Bitcoin showed support at the psychological barrier of $10,000 and bounced numerous times as it’s already close to $11,000. Most importantly, can Bitcoin break through this crucial area and continue its bullish momentum?
Bitcoin holds $10,000 to avoid any further correction on the markets
The price of Bitcoin couldn’t hold above $11,100 at the beginning of September and dropped south, causing the crypto markets to tumble down with it.
Given the fast-paced breakout above $10,000 in July, a large gap was created without substantial support zones. As no support zones were established, the price of Bitcoin fell to the $10,000 area within one day.
This $10,000 area is a crucial support area, as it was previously a resistance area, particularly around the time of the Bitcoin halving that occurred in May. But now, flipping this key level for support increases the chances of further upward continuation.