Bitcoin Price Analysis: BTC/USD To Break Higher?

Bitcoin Price Analysis BTC USD

Bitcoin price remained above the $1205 support area against the US Dollar, and now BTC/USD is looking for the next move.

There is a major contracting triangle pattern with support at $1205 formed on the hourly chart of BTC/USD (data feed via Poloniex), which may act as a buy zone in the short term.

Bitcoin Price Support and Resistance

The BTC to USD remained in a decent uptrend, as there was no major break and close below $1200. The price remained support and was seen trading with support above $1202 and $1205. Earlier, there was a dip from $1240 to well below $1200.

There was even a close below the $1200 handle once, but the price managed to gain bids near a major support area at $1160. After trading as low as $1160, the price found support and started an upside move.

There was a break above the 38.2% Fib retracement level of the last decline from the $1242 high to $1160 low. However, the upside failed near the $1216. The stated level along with the 61.8% Fib retracement level of the last decline from the $1242 high to $1160 low acted as a resistance and prevented gains.

However, the price is currently above the 100 hourly simple moving average at $1208, which is a positive sign. Moreover, there is a major contracting triangle pattern with support at $1205 formed on the hourly chart of BTC/USD.

The triangle support at $1205 may act as a major pivot zone in the near term. We can even say that the $1200 level is a major support. As long as the price is above it, there is a chance of it breaking the triangle resistance above $1220 for more gains.

The hourly RSI for BTC/USD (data feed via Poloniex) is currently above 50 level.

Happy Trading!

Chart Source – TradingView.com and data feed by┬áPoloniex

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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