Bitcoin Price Analysis: Is This Real Break In BTC/USD?

Bitcoin Price Analysis

Bitcoin price somehow managed to break higher versus the US Dollar, but the real question here is whether this is a real one in BTC/USD?

This past week’s highlighted tiny range pattern on the hourly chart (data feed via Bitstamp) of BTC/USD was broken during the recent upside move to open the doors for more gains.

Bitcoin Price Support

The BTC to USD was seen trading in a very tiny this past week, but finally there was an upside move. The price broke higher and cleared the range support along with the 23.6% Fib retracement level of the last drop from the $608 high to $592 low.

The price traded as high as $603 where sellers managed to protect any further gains. The stated level also represents the 61.8% Fib retracement level of the last drop from the $608 high to $592 low.

So, we can say that the recent failure was around a major technical level. The price is once again moving lower. However, there is a bullish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD, which is currently acting as a support area.

The price is also near the 100 hourly simple moving average, which is also acting as a support. I think if the price remains above the trend line support, then there is a real chance of another upside move in the short term.

For the price to gain strength, it needs to close above the $600 level convincingly. If there is a 4-hour close above the stated level, then the BTC buyers may step up the momentum. The next stop in that case can be at $615. The hourly RSI is just below the 50 level, and waiting for an upside move.

Happy Trading!

Chart Source – TradingView.com and data feed by Bitstamp

Aayush Jindal

Aayush has spent over EIGHT years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets.

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