Bitcoin Price Analysis: More Upsides In BTC/USD?

Bitcoin Price Analysis

Bitcoin price after range trading for some time against the US Dollar started to move higher and broke a minor resistance on the way up.

There was a bearish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD, which was was broken during the recent upside to trade above the $635 level.

Bitcoin Price Break

BTC declined from $680 to $610 this past week, but it looks like it was a correction wave. The price is once again trading higher, and moved above the $630 resistance area.

Moreover, the price managed to clear the 38.2% Fib retracement level of the last drop from the $680 high to $610 low. And, the bulls also broke a bearish trend line formed on the hourly chart (data feed via Bitstamp) of BTC/USD to clear the way for more gains in the short term.

There was a nice upside move, but it was stalled right at the 50% Fib retracement level of the last drop from the $680 high to $610 low. However, one positive point to note was the fact that the price is currently above the 100 hourly simple moving average.

So, there are chances of more upsides in the near term, as long as the price is above the 100 hourly SMA. In order to achieve this, the BTC bulls need to clear the 50% Fib level. A break above it could take the price towards the $655 level.

On the downside, we can keep a close watch on the 100 hourly SMA, as a break below it may call for a change in the trend for BTC.

The hourly RSI is above the 50 level, which is a positive sign, and suggests that the recent move in BTC/USD was encouraging.

Happy Trading!

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

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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1 Response

  1. June 28, 2016

    […] the downside, I think we need to keep a close watch on the highlighted trend line and support area, as it may act as a buy zone. As long as the price is above the trend line […]

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