- Bitcoin price after trading from $758 to $665 started a recovery and moved back above $700.
- There is a contracting triangle pattern formed on the hourly chart (data feed from SimpleFX) of BTC/USD, calling for a break.
- The price is currently trading above a crucial support area, which once broken may open the doors for more upsides.
Bitcoin price is currently trading in a range against the US Dollar, and it looks like the BTC/USD pair is approaching a crucial break ahead.
Bitcoin Price Range
There was a minor correction pattern in Bitcoin price during the past 2-3 days against the US Dollar, as it moved from $758 to $665. The price started to correct higher, and moved above the 23.6% Fib retracement level of the last leg from the $758 high to $665 low. However, the price was seen struggling to gain traction above the $710 level, and started trading in a range.
There is a breakout pattern formed, as there is a contracting triangle pattern on the hourly chart (data feed from SimpleFX) of BTC/USD. The triangle upper trend line is coinciding with the 50% Fib retracement level of the last leg from the $758 high to $665 low. So, it holds a lot of importance, and it won’t be easy for the buyers to break it. Moreover, the price is currently struggling to clear the 100 hourly simple moving average. It is currently acting as a resistance, and pushing the price down towards the lower trend line.
On the downside, the triangle lower trend line is acting as a support at the moment. But, there are higher changes of it breaking and opening the doors for a downside move.
Looking at the technical indicators:
Hourly MACD – The MACD is currently flat, but about to move in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI has just moved below the 50 level, which is a concern.
Major Support Level – $700
Major Resistance Level – $715
Charts courtesy – SimpleFX