Bitcoin Price Analysis: Can BTC/USD Break This?
Bitcoin price continued to trade above the $600 support area versus the US dollar, but the BTC/USD pair currently testing a short-term breakout level.
There is a new short-term bullish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD, which the pair is currently testing.
Bitcoin Price Break Near
The BTC to USD was seen struggling to gain pace, which means it exposes it for a downside move. However, the price is still above the $600 support, but continuous failure to move higher may push the price down.
This week we followed a monster bullish trend line on the hourly chart (data feed via Bitstamp) of BTC/USD. It was broken during the downside move, but the momentum was simply not there. However, there was another break.
The pair broke the 100 hourly simple moving average, which now exposes it for more losses in the short term. Currently, the price is trading near a new short-term bullish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD.
It is holding losses and protecting gains. There is a chance of a bounce in the near term. An initial resistance in that scenario is around the 23.6% Fib retracement level of the last drop from the $614 high to $605 low.
However, the most important resistance is now near the 100 hourly simple moving average. It is also positioned with the 50% Fib retracement level of the last drop from the $614 high to $605 low. So, there is a chance of sellers appearing and defending any further gains.
The hourly RSI has moved a lot below 50 level, which means the BTC bulls are struggling to remain in action and may call for a downside break below the trend line moving ahead.
Chart Source – TradingView.com and data feed by Bitstamp