Bitcoin Price Analysis: Bears Fail to Secure a Double Top Breakdown

Bitcoin bears have failed to secure a foothold below $8,929. That level marks the neckline of the double top pattern on the 1H chart. 

The previous hourly candle printed a low of $8,876 only to close above $8,920, taking shape of a bullish hammer and ensuring there is no double top breakdown.

1H chart

Bitcoin is pushing higher as I write. The cryptocurrency has moved to $9,000 on Bitstamp. 

From a trading perspective, traders can increase long exposure once the RSI has crossed the trendline representing  bearish divergence. 

The invalidation of bearish divergence could be followed by a convincing breakout above $9,188 (today’s high). That would shift the focus to $9,400-$9,500. 

An hourly close below $8,929 would confirm a double top breakdown and may bring in additional losses toward lateral support levels at $8,750 and $8,530.

Ahead of $8,750, the digital currency may find support of an ascending trendline rising from Sunday’s low is currently placed around $8,850.