Bitcoin Price Analysis: BTC/USD Trend Line Support Held
Bitcoin price recovery continued yesterday vs the US Dollar, as the price traded towards the $450 level as forecasted in yesterday’s post.
Moreover, yesterday I highlighted a bullish trend line on the hourly chart of BTC/USD (data feed via Bitstamp), which played well and continued to act as a barrier for the BTC sellers.
Bitcoin price to break $450?
BTC continued to trade higher vs the US Dollar, and moved above the $448 level to trade as high as 449.62. It almost tested the $450 level, as forecasted in yesterday’s post. Let us see whether the price can break the stated level or not moving ahead.
One important point is that yesterday’s bullish trend line on the hourly chart of BTC/USD (data feed via Bitstamp) held the downside break and acted as a support. I said yesterday, and I will say it again today that as long as the price is above it, there is a chance of a break above $450.
I think there is a chance that BTC/USD may spike above the $450 level, and create a new weekly high. The price is also well above the 100 hourly simple moving average, which is a positive sign for the BTC bulls.
If the BTC sellers manage to break the trend line support area, then a move towards the 38.2% Fib retracement level of the last wave from the $435 low to $449.62 high is possible, which is at $444.
The mentioned level holds the key if the price moves down, as the 100 hourly simple moving average is positioned around it. So, we can say that there is a major support formed near $444 below the trend line.
On the upside, a break of $450 might take the price towards the $452 level or maybe even a test of $454 is possible.
Chart Source – TradingView.com and data feed by Bitstamp