Technical Analysis – BTCUSD rises to pare negative gap; lacks direction in near term

Melina Deltas, XM Investment Research Desk

BTCUSD opened with a noteworthy negative gap today, posting a fresh almost two-week low near 9792.

The price dived below the Ichimoku cloud but is currently trying to pare some of today’s losses. The MACD oscillator is moving even lower below the zero and trigger lines, while the stochastic is holding in the oversold territory. However, the RSI indicator is heading higher, confirming the bullish move in the price action.

More gains could send the price towards the 10710 resistance level, taken from the inside swing bottom on July 5, while a successful attempt above this level, could endorse the scenario for bullish recovery of the gap until the short-term moving averages near 11600.

On the downside, the 9582 support level is coming into focus before bitcoin rest around the 8913 hurdle, identified by the low on June 18.

Summarizing, BTCUSD is looking cautiously neutral in the short-term as it has lacked direction over the last three weeks.