Bitcoin price fights for $26K as US dollar strength hits 10-month high

Bitcoin (BTC) hugged $26,000 at the Sept. 24 Wall Street open as a weekly close “nosedive” brought lasting consequences.

BTC/USD 1-hour chart. Source: TradingView

Bitcoin must preserve support now, analysis says

Data from Cointelegraph Markets Pro and TradingView showed BTC price trajectory uncertain after briefly piercing $26,000 support.

Sideways weekend trading soon turned sour into the new week, and upset overnight meant that bulls were unable to recoup lost ground.

#Bitcoin Weekend price action wasn’t exciting until the later hours on Sunday as expected.

Price held around the CME Close price until futures opened and then took a nose dive.

— Daan Crypto Trades (@DaanCrypto) September 25, 2023

“Bitcoin failed to break through local resistance in the form of a descending trend line, and it looks like a little bearish right shoulder may form,” analyst BaroVirtual, an ambassador for on-chain data platform Whalemap, summarized.

BaroVirtual uploaded a daily chart snapshot to X (formerly Twitter), showing a potential head-and-shoulders formation about to conclude.

“If true, BTC risks falling into the $22,000-$20,000 range,” they added.

BTC/USD annotated chart. Source: BaroVirtual/X

That perspective chimed with others already expecting a return toward the $20,000 mark — something absent from the BTC price charts for six months.

Popular trader and analyst Rekt Capital, who previously envisaged the possible reappearance of the low $20,000s as part of a breakdown from a double-top structure, now placed emphasis on holding current levels as support.

“Bitcoin could downside wick into the ~$25000-$26000 area on this current move down,” he wrote in part of fresh X analysis on Sept. 25.

“But if ~$26000 begins to act as resistance then that could be a bearish contributing sign that the ~$25000-$26000 area is weakening as support. If BTC turns the ~$25000-$26000 area into new resistance, price would collapse somewhere into the ~$22000-$24000 region to find a Local Bottom ‘C.’”

An accompanying chart laid out the key levels.

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