Bitcoin Price Analysis: BTC/USD Final Target Hit
Bitcoin price blasted higher vs the US Dollar during the past sessions and traded above the $450 level. My view of more gains in BTC/USD was right, as I forecasted a move above the $450 level correctly.
Yesterday’s highlighted bullish trend line on the hourly chart of BTC/USD (data feed via Bitstamp) acted as a catalyst and pushed the price higher.
Bitcoin price – Buy dips?
As mentioned, BTC managed to pop higher vs the US Dollar during the past two sessions, and traded above an important resistance area of $450. I kept saying in my previous analysis that there is a good chance of BTC/USD moving higher and breaking the stated level.
It did happen, and the price traded as high as $470. There was a sharp upside move once the BTC bulls managed to break the mentioned resistance area.
The most important factor for the upside move was yesterday’s highlighted bullish trend line on the hourly chart of BTC/USD (data feed via Bitstamp). It held the downside on a couple of occasions, which boosted the market sentiment in favor of BTC.
The price after trading as high as $470 started correcting lower. It already broke the 23.6% Fib retracement level of the last wave from the $447 low to $470 high.
So, there is a chance of more declines in the near term, and BTC/USD may even test the 50% Fib retracement level of the last wave from the $447 low to $470 high where buyers might jump in.
If you are looking to buy BTC/USD, then you can consider waiting until the price corrects lower and test the stated fib level.
On the upside, the recent high of $470 may now act as a resistance. A break above it might take the price towards $480.
Chart Source – TradingView.com and data feed by Bitstamp