Bitcoin price analysis: BTC/USD inches closer to $10,500 amid growing selling pressure

• Bitcoin is losing ground from $11,000 psychological level.

• BTC/USD is likely to sustain above $10,500 support area

• Bitcoin’s short-term technical picture remains positive in spite of the correction from yesterday’s high.

Bitcoin has recently recovered from a downtrend it succumbed to in the last week of August. The possible support at $10,000 failed to hold which further demoralized the buyers. Fortunately, the bulls found balance slightly above $9,300 – which gave way for a reversal action.

The bullish price action sent Bitcoin towards $11,000 but BTC bearish move on Wednesday is keeping the bulls on high alert.

From an opening price of $10,345 on Tuesday, BTC/USD sustained an uptrend to highs around $10,776. The trading closed on Tuesday high above its opening price which shows that the market was trending higher before hitting resistance around $10,800.

Trading on Wednesday has been mostly bearish with Bitcoin sliding towards $10,500. Looking at the Moving Average Convergence Divergence (MACD), bitcoin is likely to sustain the support of $10,500. In other words, this range will continue to function as support as consolidation sets in.

As long as the 50 Simple Moving Average (SMA) 4-hour stays above the 100 SMA 4-hour, Bitcoin is expected to remain bullish in the short-term.  

BTC/USD 4-hour chart