Bitcoin (BTC) got into trouble at $ 46,000 on September 12 after a “strong bullish divergence” encountered resistance on lower time frames.
BTC / USD 1-hour candle chart (Bitstamp). Source: TradingView
Higher lows are creeping in for BTC / USD
Data from Cointelegraph Markets Pro and TradingView showed BTC / USD declines sharply after hitting local highs of $ 46,280 on Bitstamp.
The move continues a wide weekend with the pair unable to recover from the Friday sell-off.
$ 45,500 is an important level for Bitcoin in terms of its 50-day moving average, a level that continued to be held as support on Sunday.
As trader and analyst Rekt Capital noted, lower time frames showed increasing strength that day, with “strong bullish divergence” marking the 4-hour chart. At the time of writing, however, no new levels of support had yet been added.
“Bitcoin made a lower low in the 4-hour timeframe between September 8 and 10,” he summarized.
“However, over the course of September 10th and 12th, $ BTC made a new higher low in the 4-hour timeframe.”BTC / USD 1-day candlestick chart (Bitstamp) with 50-day moving average. Source: TradingView
Cointelegraph analyst Michaël van de Poppe was also looking for a taller, lower construction.
“If we look at a higher low to be constructed in Bitcoin, we are ready to go towards $ 50,000,” he said on Saturday.
Polkadot leads the altcoin moves on Sunday
As Cointelegraph reported, Bitcoin price is expected to drop to $ 38,000 in the worst case scenario, with September being a brooding month as the bull run continues.
Related: Bull Flag Outbreak Drives Avalanche Towards $ 80 as AVAX Price Hits Another Record High
Bitcoin’s overall dominance in the crypto market continued to decline over the weekend, approaching 40%, which could prove to be a boon to altcoin performance.
There were already signs of life on Sunday for the Major Alts, with Polkadot (DOT) leading the top ten with 10% daily gains.
DOT / USD 1-day Kraken candlestick chart. Source: TradingView
The largest altcoin, Ether (ETH), rose 3.2% to $ 3,425, albeit still 13% from its position last weekend.