12-Hour Analysis:
Big Picture: Bitcoin had yet another round of aggressive short covering, bringing the price close back to the psychological milestone of $30,000. However, as previously indicated, any strength was likely to be used as a chance to draw in profits and trigger fresh short positions. To negate such a scenario and for price to have remained bullish surpassing 30,300 level was entirely important. Failure to do so resulted in yet another wave of aggressive profit taking across the board. Going forward, sellers will be aiming for the liquidity zone once more.
On the Upside Bitcoin is presently facing severe resistance between the levels of 28,120 and 28,390. These levels are going to make it tough for buyers to gain momentum; however, if they are able to break through these levels, a push into 28,800 followed by 29,075 would be next. This is another strong area of resistance that would prompt intraday profit-taking, even if just partial. These levels may operate as the session’s highs, but establishing a foothold above them strengthens the short-term bullish view.
On the Downside price is once again testing the EMA-100 level. For the time being, the EMA support level of 27,925 is still holding, but the overwhelming pressure is making it tough to maintain it. If this EMA support level is lost, Bitcoin will be exposed to the next supporting zone. Lower supports are initially at 27,000, followed by the liquidity zone between 26,600 and 26,200.
