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Bloomberg
Euphoria around Bitcoin’s break above $10,000 over the weekend appears to be short-lived. The largest cryptocurrency found resistance just above that level, reaching as high as $10,194 on Sunday before pulling back, according to data compiled by Bloomberg.
It similarly struggled with that level in September when it crossed $10,000 — the month that followed saw it lose more than 14%.
In addition, the token is overbought based on the 14-day relative strength index (RSI), which crossed the 70 mark. Assets are considered overbought if the RSI exceeds 70. Those two factors suggest a potential retreat ahead as
the coin struggles to meaningfully break out from its recent trading range.
“It’s a consolidating bull market,†Mike McGlone, an analyst with Bloomberg Intelligence said. On February 9, Bitcoin surged above the $10,000, marking only the third such major breakout in its history.