Bitcoin Price Analysis: BTC/USD Eyeing Break
Bitcoin price continued to trade in a range against the US Dollar, as highlighted yesterday. It looks like the BTC/USD pair may break soon for the next move.
Yesterday’s both trend lines, one on the upside and another on the downside are still in action, and may play a major role for the next move in BTC/USD in the short term.
Bitcoin Price Support and Resistance
The BTC continued to struggle against the USD, and it looks like it may remain under a bearish pressure for some time. The price mostly trading in a range during the past 24 hours, but with a minor downside slope.
Yesterday, I highlighted two trend lines on the hourly chart (data feed via Bitstamp) of BTC/USD. One on the upside, acting as a resistance and another on the downside providing support to the pair.
The price is currently moving in the highlighted range formed with the trend lines. The most important point is the 100 hourly simple moving average. The price is currently flirting with it, and it looks like it may play a crucial role in the short term.
Furthermore, the 50% Fib retracement level of the last wave from the $564 low to $598 high is still in play and acting as a support along with the trend line. So, we can say that the trend line support holds a lot of importance. So, the chances of a break higher are more compared with a break down.
A break above the trend line resistance could take the price towards the $600 level once again where the sellers may appear. Overall, one can wait for the price to break the range pattern and then trade accordingly. The hourly RSI is below the 50 level, which is a bearish sign in the short term.
Chart Source – TradingView.com and data feed by Bitstamp