Bitcoin price falls to $8400: what’s next?

After the dump on 10th May, the Bitcoin price held the support above $8400 for the first half on 11th May. The trading pair briefly spiked above the $9100 level, after which it gradually returned towards the $8400 support.

Jay Shree, the TradingView analyst, suggested that BTC price will undergo two possible scenarios, one of them being bullish whilst the other one was bearish.

1-Day Bitcoin price analysis (11th May)

Bitcoin price chart by TradingView

Bitcoin traded near the $8700 level after the dump occurred at the beginning of 10th May. The cryptocurrency showed an uptrend after 09:00 GMT, where the price line moved to a day’s high of $9182.97 US Dollars.

After 18:00 GMT, the BTCUSD pair fell below the $8300 mark. On the full-featured chart, the Relative Strength Index (RSI) appeared bearish, where it reached a low of $8.78.

This showed that Bitcoin was oversold at the time. At the time of writing, Bitcoin traded at $8630.06 US Dollars.

BTC price onto bearish next?

Jay Shree drew the suggested trajectories for each scenario that the cryptocurrency was expected to follow. Below is the chart that includes both of these scenarios.

Scenario 1 depicts an uptrend for the cryptocurrency, which would have followed Bitcoin’s previously ongoing bullish trendline. On the contrary, Scenario 2 showed that the coin would have broken below the $8400 support.

Bitcoin price chart by TradingView

Currently, the second scenario seems more like to be in play as of 11th May. The cryptocurrency turned bearish and moved below the $8400 level.

Traders must bear in mind that despite the current downtrend, Bitcoin is among the most volatile cryptocurrencies and can sway in any direction anytime.

Disclaimer: The information provided is not trading advice but an informative analysis of the price movement. Cryptopolitan holds no liability towards any investments based on the information provided on this page.