Bitcoin Price Could Hit Low $8,000 Before Bouncing Back To $10,000

Bitcoin (BTC) couldn't sustain the momentum in the first month of the year and failed to record positive gains in February. After topping a little over $10,500, Bitcoin slipped to $8,500 last month, breaking key support level after key support level. The selloff after Feb. 18. resulted in BTC's struggling to get past $9,000 as of press time.

The overall sentiment, at least for most bulls, is that there's still an impending rally for the leading crypto primarily due to the halving event. Some traders also perceive that Bitcoin is poised to go lower before setting off a rally after the block rewards get split by May.

Last week, analyst PlanB upheld the $8,200 bottom to still be in play as that level would mean breaking the 200-week moving average, which hasn't happened in Bitcoin's entire history.

"$8.2k bottom still stands. It would really be unprecedented if it breaks, never happened before. Note it has nothing to do with s2f," PlanB tweeted.

Analyst Jason Rager's bottom is slightly lower than PlanB's but intertwines along the same area. Rager believes that price could reach $8,160 with a weekly low of $7,800.

"BTC Potential Bottom. Point of control for the entire CME BTC chart history is at $8160. Last time price hit a major high volume area was at the local bottom around $6400 which led to price reversal. Watch for the weekly candle to stay above $8160 w/ a wick down as low as $7800," Rager tweeted.

The point of control that Rager was referring to is an area or price level that an asset received the highest trading volume over a selected time period. Reaching that area could translate to a reversal that could propel BTC back to $10,000.

That, along with the 200-week MA holding, are already two major technical studies backing the price level, which could mean that it may be a significant turning point in seeing further rallies for BTC.

As the halving approaches, traders brace themselves for which direction price will head to. Investor sentiment shifted to fear by Feb. 16, according to the fear and greed index, but only shows an incomplete picture for how the market felt leading up to BTC's 2020 high.