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Bitcoin Just Surged to $9,400: Why Traders Think Price Will Explode Even Further

Avatar Nick Chong 1 month ago

Welcome back bulls. Over the past few hours, Bitcoin (BTC) has begun to surge higher again per TradingView, with buyers finally stepping in after last week’s 11% decline. Since hitting $8,200 late last week, the price of the leading cryptocurrency has exploded higher, surging to just shy of $9,400 minutes ago as of the time of writing this article.

The cryptocurrency failed to surmount $9,400, though the technical backdrop is starting to support further price appreciation.

Bitcoin Explodes Past $9,400 In Massive Move

Firstly, this move has brought Bitcoin above the key 200-day simple moving average. While the price has yet to close above this key technical level, sitting around $9,000, this specific moving average has long been seen as analysts as an indicator of an asset’s long-term directionality.

With the daily candle closing in literal minutes, it seems that the asset will flip this resistance into support, boding well for bulls on a long-term basis.

This move has also allowed BTC to break out of “an inverse head and shoulders formation (with a very weak right shoulder, which makes it often more powerful.

Trader Mayne, who called this surge towards $9,350 last hour, says that the surge to this level may be a precursor to a further rally to $9,800 — or another 5% gains from the current levels.

CJ noted earlier today that the $9,223 was a “pivotal” level for BTC, making this latest surge above this level likely “pivotal” for the bullish argument.

$9,600 Is Overhead

Where the latest move is undoubtedly bullish, the cryptocurrency will need to close a weekly candle, maybe the upcoming one, above $9,557, for that sets a higher high in this market trend. This close should cement the idea that the long-term downtrend that brought the leading digital asset from $14,000 to $6,400 is decisively over. As Josh Rager wrote:

“The downtrend is clearly broken on high time frame and if Bitcoin closes above $9557, that’s a higher-high.”

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Nick Chong

Since 2013, Nick has shown interest in Bitcoin and cryptocurrencies. He has since become involved in the industry as a full-time content creator, working for NewsBTC, Bitcoinist, LongHash, among other outlets. Aside from covering...

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