Bitcoin (BTC) hit problems at $46,000 on Sept. 12 after a “strong bullish divergence” on lower timeframes met with resistance.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
Higher lows creep in for BTC/USD
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD reject sharply after hitting local highs of $46,280 on Bitstamp.
The move continues a ranging weekend, over which the pair failed to recover from Friday’s sell-off.
$45,500 is an important level for Bitcoin in the form of its 50-day moving average, a level which on Sunday continued to hold as support.
As noted by trader and analyst Rekt Capital, lower timeframes showed increasing strength on the day, with a “strong bullish divergence” characterizing the 4-hour chart. At the time of writing, however, no new levels had entered as support.
“Bitcoin formed a Lower Low on the 4-hour timeframe during the days spanning the 8th and 10th of September,” he summarized.
“Over the course of the 10th and 12th of September however, $BTC formed a new Higher Low on the 4-hour timeframe.”BTC/USD 1-day candle chart (Bitstamp) with 50-day moving average. Source: TradingView
Cointelegraph contributing analyst Michaël van de Poppe was also on the lookout for a higher low construction.
“Looking at a higher low to be constructed at Bitcoin and then we’re ready to go toward $50K,” he said Saturday.
Polkadot leads Sunday’s altcoin moves
As Cointelegraph reported, expectations include a Bitcoin price dip to as low as $38,000 at worst, with September poised to be a month of rumination for the bull run continues.
Related: Bull flag breakout pushes Avalanche toward $80 as AVAX price hits another record high
Bitcoin’s overall crypto market dominance continued to fall at the weekend, nearing 40% in what could prove to be a boon for altcoin performance.
Signs of life were already present on major alts Sunday, with Polkadot (DOT) leading the top ten with 10% daily gains.
DOT/USD 1-day candle chart (Kraken). Source: TradingView
The largest altcoin, Ether (ETH), was up 3.2% at $3,425, albeit still down 13% compared to its position last weekend.