Bitcoin Price Analysis: BTC/USD New High
Bitcoin price after a minor correction against the US dollar found buyers, and started to move higher once again.
BTC/USD created a new high above $730, and currently looks set for more upsides in the near term. Before the upside move, the price broke a bearish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD, which ignited a rally.
Bitcoin Price Gains
BTC surprised many traders during the past 24 hours, as it spiked higher one more time, and even broke the last high of $724 to create a new high above $730. There was a solid upside move, which came just after BTC climbed above $700.
During the upside move, the bulls managed to clear a bearish trend line formed on the hourly chart (data feed via Bitstamp), which ignited further gains.
If the price corrects lower from the current levels, then the 23.6% Fib retracement level of the last leg from the $654 low to $731 high may be tested. However, if the correction is extended, then the 38.2% Fib retracement level of the same wave can also be tested.
I think if the current trend continues, there is a possibility of BTC/USD heading towards the $750 level in the short term where the sellers may take a stand.
Almost all technical indicators including the hourly RSI and MACD are pointing more gains in BTC moving ahead. The price is also above the 100 hourly simple moving average, which is a sign that the bulls are in control and might push the price further higher.
If you are looking to enter a buy trade, then you can consider on the dips, but with a caution and a tight stop of not more than 2-3 points.
Chart Source – TradingView.com and data feed by Bitstamp