Bitcoin Price Watch: BTC Following Slow and Steady Uptrend

  • Bitcoin price corrected lower recently below the $ 3,640 and $ 3,580 supports against the US Dollar.
  • There is a contracting triangle forming with resistance near $ 3,625 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The price could either climb above the $ 3,625 resistance or extend the correction below $ 3,560.

Bitcoin price declined recently below the $ 3,580 support against the US Dollar. BTC found support near $ 3,550 and it seems like the market is preparing for the next move in the near term.

Bitcoin Price Analysis

After trading above the $ 3,700 resistance, bitcoin price started a downside correction against the US Dollar. The BTC/USD pair topped at $ 3,745 and later corrected below $ 3,700 and $ 3,640. There was a break below the 23.6% Fib retracement level of the last leg from the $ 3,340 swing low to $ 3,745 high. More importantly, there was a break below the $ 3,600 and $ 3,580 support levels. The price traded close to the $ 3,550 support area, where buyers emerged.

There was a complete test of the 50% Fib retracement level of the last leg from the $ 3,340 swing low to $ 3,745 high. Besides, the 100 hourly simple moving average acted as a strong support and prevented additional losses below $ 3,540. The price bounced back, but the previous supports at $ 3,580 and $ 3,600 are acting as resistances. More importantly, there is a contracting triangle forming with resistance near $ 3,625 on the hourly chart of the BTC/USD pair. A successful break above the $ 3,600 and $ 3,620 resistances could set the pace for more gains in the near term. The next key resistances are $ 3,700 and $ 3,750. On the other hand, a close below $ 3,550 might open the doors for a drop to $ 3,500 or $ 3,440.

Bitcoin Price Analysis BTC Chart

Looking at the chart, bitcoin price is likely preparing for the next break either above $ 3,625 or below $ 3,550. It seems like buyers could gain control as long as the price is above $ 3,550 and the 100 hourly SMA.

Technical indicators

Hourly MACD – The MACD is about to move back in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is still below the 50 level, which is a negative sign.

Major Support Level – $ 3,550

Major Resistance Level – $ 3,625

Let’s block ads! (Why?)

Analysis – NewsBTC

Comments (No)

Leave a Reply

Powered by WP Robot

PHP Code Snippets Powered By : XYZScripts.com