Bitcoin Price Analysis: BTC/USD Remains In A Range
Bitcoin price showed no good signs against the US Dollar, as the BTC/USD pair mostly traded in a range and may remain under a bearish pressure.
Yesterday’s highlighted channel pattern on the hourly chart (data feed via Bitstamp) of BTC/USD is still in play and may act as a reason for the next move in the near term.
Bitcoin Price Technical Analysis
The BTC to USD struggle to move higher continued this week, as the price remained in a range. The price after dropped below $600 started a recovery, but facing a lot of hurdles on the upside.
The price has already broken the 38.2% Fib retracement level of the last drop from the $626 high to $594 low. However, the BTC bulls are struggling to break the 50% Fib retracement level of the same wave. Moreover, the 100 hourly simple moving average is also around the same fib level, acting as a monster resistance.
Yesterday, I highlighted a channel pattern on the hourly chart (data feed via Bitstamp) of BTC/USD. It is still acting as a hurdle for the upside move. The channel trend line along with the 100 hourly simple moving average is stopping the upside move.
If the BTC bulls manage to clear the hurdle, then a move towards the 76.4% Fib retracement level of the last drop from the $626 high to $594 low is possible.
However, it won’t be easy for the buyers to take the price higher. So, it presents a risk of a downside break. A break and close below the channel support trend line may act as a catalyst for a move towards the $590 level. The hourly RSI is well below the 50 level, which is a sign that there are chances of more losses.
Chart Source – TradingView.com and data feed by Bitstamp