After reaching an annual high of $10,000, Bitcoin is declining and today hit a low of $10,068. The price has dropped by almost $400 in less than three hours. However, at the time of publication, the price of Bitcoin is above the support level of 10,000.
BTC/USD expects a deeper correction below $10K. Despite Bitcoin tried to retest the 10,500 mark, volumes were weak to continue the rally, as the result that Bitcoin risks continuing to correct, reaching the range of $9,800-9,900.
The general trend for BTC/USD remained positive: the price is still above key long-term support lines, such as the 200-day and 50-week moving average. The only indicator that signaled sellers' mood was the relative strength indicator, which entered the overbought zone.
Some analysts expect a deep correction to the mark of $8,500. Bitcoin-related CME futures left a small gap of about $8,540. Spot rates tend to fill the gaps in their futures charts. There is no fundamental reason why the gap should be closed, but Bitcoin is very volatile, and it will likely fill the CME gap again.
Bitcoin will be able to test $9,500–9,800 in upcoming sessions, but there’s nothing to worry about. That would even be helpful.